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a Fresh Paper Delivery has decided to analyze the profitability of five new customers. It buys recycled paper at $11 per case and sells to

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a Fresh Paper Delivery has decided to analyze the profitability of five new customers. It buys recycled paper at $11 per case and sells to retail customers at a list price of $15.30 per case Data pertaining to the five customers are: Click the icon to view the data) Fresh Paper Delivery's five activities and their cost drivers are as follows: Click the loon to view the activities and cost drivers) Read the requirements t 3d Requirement 1. Compute the customer-level operating income of each of the five retall customers now being examined (1,2,3,4, and 5). Comment on the results. Begin by calculating each customer's gross margin. Then calculate the operating income for each customer (Complete all input fields. Enter a "0" for any zero balances Use parentheses or a minus sign for operating losses) 1 2 3 4 to 5 nt sin Gross margin sing om Total customer-level operating costs Customer-level operating Income (10 Data Table Customer 4 5 3 1 2 2,050 $15.30 $15.30 Cases sold 8,800 $15.30 62,300 $15.30 33,700 $15.30 $14.81 2,300 $15.30 $13.84 (1, 2, 3, 4, and bill input fields $15.01 $13.20 9 30 33 41 16 26 3 4 3 2 5 List selling price Actual selling price Number of purchase orders Number of customer visits Number of deliveries Miles traveled per delivery Number of expedited deliveries 33 36 71 39 18 39 19 8 12 9 0 3 0 0 0 - Grol Data Table Activity Order taking Customer visits Deliveries Product handling Expedited deliveries Cost Driver Rate $140 per purchase order $50 per customer visit $3 per delivery mile traveled $0.40 per case sold $390 per expedited delivery Total customer-level op Customer-level operating inco Mouramment on the results

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