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Jestion 6 ot yet swered Kirk Ltd. manufactures sporting shoes for sale in two leading sports equipment retailers: Rebez and Sportee. Information regarding the two
Jestion 6 ot yet swered Kirk Ltd. manufactures sporting shoes for sale in two leading sports equipment retailers: Rebez and Sportee. Information regarding the two customers is given below: arked out of DO Rebez Total Sportee $405,000 Flag Revenue $720,000 $1,125,000 sestion Cost of goods sold $480,000 $200,000 $680,000 Gross margin $240,000 $205,000 $445,000 Kirk Ltd. incurs selling, general and administrative (SG&A) expenses of $300,000, which is related to two customer-driven activities: sales order processing and advertising support. The data associated with both customer-driven activities is as follows: Resource Driver Activity Driver No. of FTE Staff 12 No. of sales orders Sales Order Processing Advertising support Total 8 No. of ads placed 20 Rebez Sportee Total Number of sales orders 20 30 50 Number of ads placed 20 20 40 What is the net customer profitability of Sportee based on the net revenue approach? Meeting in "General" 17:21 Select one: O a $192,000 AL O b. $313,000 O c $48,000 O d. $108,000 What is the net customer profitability of Sportee based on the net revenue approach? Select one: O a. $192,000 O b. $313,000 O c. $48,000 O d. $108,000 e. $97,000
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