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Check my work 1 Foam Products, Incorporated, makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity
Check my work 1 Foam Products, Incorporated, makes foam seat cushions for the automotive and aerospace industries. The company's activity-based costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: 33.33 points Activity Cost Pool Supporting direct labor Batch processing Order processing Customer service Activity Measure Number of direct labor-hours Number of batches Number of orders Number of customers Activity Rate $ 11 per direct labor-hour $ 100 per batch $ 274 per order $ 2,603 per customer Skipped eBook The company just completed a single order from Interstate Trucking for 2,800 custom seat cushions. The order was produced in two batches. Each seat cushion required 0.7 direct labor-hours. The selling price was $142.50 per unit, the direct materials cost was $106 per unit, and the direct labor cost was $13.90 per unit. This was Interstate Trucking's only order during the year. Print References Required: Calculate the customer margin on sales to Interstate Trucking for the year. Interstate Trucking Customer Margin-ABC Analysis Costs
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