Assume Samsung uses activity-based costing to allocate customer support costs to products. For two of its laptop models, assume the company reports the data below. The Galaxy Book S sells for $1,000 per unit and the Galaxy Book Flex sells for $900 per unit.

Product Cost per Unit	Galaxy Book S	Galaxy Book Flex
Direct materials	$ 520	$ 390
Direct labor	60	50
Overhead	120	140
Total product cost	$ 700	$ 580

Customer Support	Galaxy Book S	Galaxy Book Flex
Annual costs	$ 650,000	$ 950,000
Annual number of calls	10,000	10,000

Required: 1. Compute the activity rate for the customer support cost for each laptop model. 2. Prepare a customer profitability report for each laptop model for (a) an order for 500 S models from a local college and (b) an order for 500 Flex models from a local hospital. The company budgets 500 support calls for both orders. 3. Which order, for Galaxy Book S or Galaxy Book Flex, earns the most income?