Customer Profitability Analysis Roland, Inc. provides residential painting services for three home building companies, Alpha, Beta, and Gamma, and it uses a job costing system for determining the costs for completing each job. The job cost system does not capture any cost incurred by Roland for return touchups and refinishes after the homeowner occupies the home. Roland paints each house on a square footage contract price, which includes painting as well as all refinishes and touchups required after the homes are occupied. Each year, Roland generates about one-third of its total revenues and gross profits from each of the three builders. Roland has observed that the builders, however, require substantially different levels of support following the completion of jobs. The following data have been gathered: Costs per Driver Unit Support Activity Driver Hours on job Major refinishes Touchups Number of visits Communication Number of calls $20 $110 $10 Builder Major Refinishes Touchups Communication Alpha 80 150 360 Beta 35 110 205 Gamma 42 115 190 Assuming that each of the three customers produces gross profits of $100,000, calculate the profitability from each builder after taking into account the support activity required for each builder. Alpha $ 0 Beta $ 0 Gamma $ 0 Two-Stage ABC for Manufacturing Meridian Company has determined its activity cost pools and cost drivers to be the following: Setup Cost pools Material handling $77,000 12,800 Machine operation Packing 280,000 84,000 Total indirect manufacturing costs $453,800 Cost drivers Setups 350 Material moves 640 Machine hours 20,000 Packing orders 1,200 One product made by Meridian, metal casements, used the following activities during the period to produce 500 units: Setups 20 Material moves 80 Machine hours 1,900 Packing orders 150 (a) Calculate the cost per unit of activity for each activity cost pool. Setup 0 Material handling $ 0 Material operation $ Packing 0 $ 0 (b) Calculate the manufacturing overhead cost per metal casement manufactured during the period. Round your answer to the nearest cent. $ 0