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2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet Increase the number of orders from 4
2. Assume that OfficeMart places orders more frequently, but everything else remains the same. On your worksheet Increase the number of orders from 4 to 17. (Prior to completing this requirement, change all worksheet figures back to their original amounts.) 1 Chapter 7: Applying Excel A B C D E 2 3 Data 4 Manufacturing overhead $ 500,000 5 Selling and administrative overhead $ 300,000 6 7 Assembling Units Processing Orders Supporting Customers Other 8 Manufacturing overhead 50% 35% 5% 10% 10% 45% 25% 20% 1,000 250 100 units orders customers Selling and administrative overhead 9 Total activity 10 11 12 OfficeMart orders: 13 Customers 1 customer 14 Orders 17 orders 15 Number of filing cabinets ordered in total 80 units 16 Selling price 17 Direct materials SS $ 595 $ 180 18 Direct labor 69 $ 50 19 (a) What is the customer margin under activity-based costing when the number of orders Increases to 17? (Enter a loss as a negative amount.) Customer margin under activity-based costing (b) What is the product margin under the traditional costing system when the number of orders Increases to 17? (Enter a loss as a negative amount.) Product margin under the traditional costing system
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