Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

he p- Activities Activity Area 1. Order processing 2. Line-item ordering 3. Store deliveries 4. Carton deliveries 55. Shelf-stocking Cost Driver Rate in 2018 $40

he p- Activities Activity Area 1. Order processing 2. Line-item ordering 3. Store deliveries 4. Carton deliveries 55. Shelf-stocking Cost Driver Rate in 2018 $40 per order $4 per line item $50 per store delivery $1 per carton $13 per stocking-hour Print Done - X g, Flair should ber Customers' data et mo Total orders Average line items per order Total store deliveries Average cartons shipped per store delivery Average hours of shelf-stocking per store delivery Average revenue per delivery Average cost of goods sold per delivery - X Acton Pharmacy Brocket Pharmacy 11 00 8 10 18 67 50 Print Done 20 23 0.25 05 2.250 $ 1.800 2.150 S 1.650 uld do. (R per Required 1. Use the ABC information to compute the operating income of each customer in August 2018. Comment on the results and what, if anything, Flair should do. 2. Flair ranks the individual customers in the mom-and-pop single-store distribution market on the basis of monthly operating income. The cumulative operating income of the top 20% of customers is $58, 120. Figure Eight reports operating losses of $20,180 for the bottom 40% of its customers. Make four recommendations that you think Figure Eight should consider in light of this new customer profitability information. et more help- Print Done - X ld do. (Ro Figure Eight Inc. is a distributor of pharmaceutical products. Its ABC system has five activities (Click the icon to view the activities) Rick Flair, the controller of Figure Eight, wants to use this ABC system to examine individual customer profitability within each distribution market He focuses first on the mom and pop single-store distribution market. Two customers are used to exemplify the insights available with the ABC approach Data pertaining to these two customers in August 2018 are as follows (Click the icon to view the customers data y Bequend Requirement 1. Use the ABC information to compute the operating income of each customer in August 2018. Comment on the results and what, if anything Flair should do. Round your answers to the nearest whole dollar the parentheses or a minus sign for operating losses) Ravenues Cost of gold Grass marg Operating Operating income p Acton Pharmacy Help me solve this i Etext pages Get more help Type here to search O DELL Un Clear all Check answer F10 F12 Priser Insert Delete 309PM ENG Figure Eight incisa daributor of pharmaceutical products h ADC syslem has five activites (Click the icon so view the adv Rick Flak, ha controller of Figure Eight wants to use this ABC system to examine dual customer profitability within each distribution market. He focuses first on the mom-and-pop single-store distribution market. Two cintoms are used to exemplify the mights available with the ABC approach. Dala pertaining to these two customers in August 2015 are as follo TECkck the icon to view the customers' dels) Read GLID Raquant 1. Use the ABC informaten to computs the operating income of each customer in August 2018 Comment on the rests and what anything Flat should do (Round your answers to the nearest whore dole Use pa sign for operating losses) Acto Pharmacy Cost of god id G Operating co Operating come

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

When should a company initiate a price change?

Answered: 1 week ago

Question

=+4. Descriptive statistics_ tistics while inferential sta-

Answered: 1 week ago

Question

305 mg of C6H12O6 in 55.2 mL of solution whats the molarity

Answered: 1 week ago