Answer-
INTERSTATE TRUCKING | ||
CUSTOMER MARGIN (ABC ANALYSIS) | ||
PARTICULARS | AMOUNT | |
$ | ||
Sales (a) | 3000 units*$141.50 per unit | 424500 |
Less:- Costs | ||
Direct material | 3000 units*108 per unit | 324000 |
Direct labor | 3000 units*14.50 per unit | 43500 |
Supporting direct labor | (3000 units*0.6 DLHs per unit)*$12 per DLHs | 21600 |
Batch processing | $92 per batch*5 batches | 460 |
Order processing cost | $283 per order*1 order | 283 |
Customer service cost | $2600 per customer*1 customer | 2600 |
Total costs (b) | 392443 | |
Customer margin (c=a-b) | 32057 |
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Bateh processing Order processing Customer service Metivity measure Number of direct labor-hours Number of batches Number of orders Number of customers Activity Rate $ 11 per direct labor-har $ B7 per batch 2B7 per order $ 2,638 per customer...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace Industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers Activity Rate $ 15 per direct labor-hour $ 95 per batch $ 275 per order $ 2,619 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers $ $ $ $ Activity Rate 11 per direct labor-hour 88 per batch 281 per order 2,623 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers Activity Rate $ 12 per direct labor-hour $ 99 per batch $ 278 per order $ 2,616 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers $ $ $ $ Activity Rate 8 per direct labor-hour 85 per batch 273 per order 2,629 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers $ $ $ $ Activity Rate 8 per direct labor-hour 85 per batch 273 per order 2,629 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers Activity Rate $ 14 per direct labor-hour $ 97 per batch $ 280 per order $ 2,616 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company's activity-based.costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Activity Rate 8 per direct labor-hour 91 per batch 277 per order 2,607 per customer Number of direct labor-hours Number of batches Number of orders Number of customers $ The company just...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company’s activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Activity Measure Activity Rate Supporting direct labor Number of direct labor-hours $ 12 per direct labor-hour Batch processing Number of batches $ 87 per batch Order processing Number of orders $ 283 per order Customer service Number of customers $ 2,616 per...
Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company’s activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Activity Measure Activity Rate Supporting direct labor Number of direct labor-hours $ 13 per direct labor-hour Batch processing Number of batches $ 85 per batch Order processing Number of orders $ 273 per order Customer service Number of customers $ 2,615 per...