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A company implemented an activity-based costing system, which includes three activities with the following activity rates: Activity Cost Pool Travel Deliveries Customer service Activity Rate
A company implemented an activity-based costing system, which includes three activities with the following activity rates: Activity Cost Pool Travel Deliveries Customer service Activity Rate $ 2 per mile driven $50 per delivery $22 per phone call Two of the company's many customers include Customer A and Customer B. These two customers consumed the company's activities as follows: Travel (number of miles driven) Deliveries (number of deliveries) Customer service number of phone calls) Total Expected Activity Customer A Customer B 300 250 15 5 20 12 If the company earned $2.180 in revenue serving Customer A, then what is the customer margin for this customer? Multiple Choice $490 $460 tan ollows: Travel (number of miles driven) Deliveries (number of deliveries) Customer service (number of phone calls) Total Expected Activity Customer A Customer B 300 250 15 5 20 12 the company earned $2,180 in revenue serving Customer A, then what is the customer margin for this customer? Multiple Choice $490 $460 O O $560 $390
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