4 Supermart Food Stores (SFS) has experienced net operating losses in its frozen food products line in the last few periods. Management believes that the store can improve its profitability if SFS discontinues frozen foods. The operating results from the most recent period are: 6 Prozen Sales Cost of goods sold $132,000 $103,000 $182,000 76,000128,00o 114,000 SFS estimates that store support expenses, in total, are approximately 21% of revenues. Print The controller says that not every sales dollar requires or uses the same amount of store support activities. A preliminary analysis reveals store support activities for these three product lines are: References Baked 101 129 orders) Receiving (number of deliveries) Shelf-stocking (number of hours per 52 0.4 24,000 32,0 delivery) 64,000 The controller estimates activity-cost rates for each activity as follows: Order processing Receiving 109 per delivery 14.00 per hour 0.23 per item Customer support 4 order processing Receiving Shelf-stocking Customer support $ 79 per purchase order 109 per delivery 14.00 per hour 0.23 per item Required 1. Prepare a product-line profitability report for SFS under the current costing system. 2. Prepare a product-line profitability report for SFS using the ABC information the controller provides. Complete this question by entering your answers in the tabs below Required 1 Required 2 Prepare a product-line profitability report minus sign. Round operating margin (loss) to 2 decimal places (ie. 02134 should be entered as 21.34%).) em. (Loss amounts should be indicated by a Frozen Food Baked Goods Operating margin (loss) eBook Complete this question by entering your answers in the tabs below Print References Required 1 Required 2 Prepare a product-line profitability report for SFS using the ABC information the controller provides. (Loss amour indicated by a minus sign. Round operating margin (loss) to 2 decimal places (i.e. 0.2134 should be entered as 2 Round all other answers to nearest whole dollar.) Frozen Food Baked Goods Fresh Produce Store support Prey 4of5 Next > Graw