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please show any work if possible, thank you! Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The company has a standard
please show any work if possible, thank you!
Thermal Rising, Incorporated, 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 direct labor $ 18 per direct labor-hour Order processing $ 168 per order Custom design processing 265 per custom design Customer service 5.424 per customer Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, which has ordered the following products over the last 12 months Standard Model 22 Custom Design 3 Number of gliders Number of orders Number of custom designs Direct labor-hours per glider Selling price per glider Direct materials cost per elder 26.50 $1,925 $450 39.00 5 2,420 $ 576 The company's direct labot rate is S16 per hour Required: Using the company's activity based costing system, compute the customer margin of Big Sky Outfitters. (Round your intermediate calculations and final answer to the nearest whole dollar amount. Loss emounts should be entered with a minus sign.) Customer margin Step by Step Solution
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