Customer Profitability Analysis Gonalong, Inc., has 10 customers that account for all of its $4,500,000 of net income. Its activity-based costing system is able to assign all costs, except for $650,000 of general administrative costs, to key activities incurred in connection with serving its customers. A customer profitability analysis based on activity costing produced the following customer profits and losses: Customer

#1. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 346,000

#2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 624,000

#3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (257,000

)#4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 969,000

#5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,040,000

#6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 872,000

#7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 628,000

#8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 322,000

#9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (105,000)

#10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 711,000

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,150,000

RequiredPrepare a customer profitability profile graph. Sort the customers in order of profitability from most profitable to least profitable, then plot the cumulative profit with total profits along the y-axis and cus-tomers along the x-axis. What is the maximum amount of profit that Gonalong could achieve if they were to eliminate their unprofitable customers?