Nibu, Inc., makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management has designed an activity-based costing system with the following activity cost pools and activity rates:

Activity Cost Pool	Activity Rate
Supporting manufacturing	$16.5 per DLH
Order Processing	$190.5 per order
Custom designing	$259.5
Customer service	$424.5

Management would like an analysis of the protability of a particular customer, ABC which has ordered the following products over the last 12 months:

	Standard Model	Custom Design
Number of gliders	5	1
Number of orders	1	3
Number of custom designs	0	2
Direct Labor Hours per glider	12.5	17.5
Selling Price per glider	$1,750	$2,150
Direct Material Cost per glider	$375	$412

The companys direct labor rate is $17.5 per hour.

Required: Using the companys activity-based costing system, compute the customer margin of ABC. (5 marks)