QUESTION 1 Zelda Led manufactures toys and games. The cost management staff have just completed a customer profitability analysis, at the request of the marketing manager. The following information forms the basis for the analysis: Customer-driven activities Cost driver Cost driver rate Sales activity Sales visits $2 000 Order taking Purchase orders 400 Special handling Units handled 100 Special shipping Shipments 1 000 Cost driver data for two of Zelda Led's major customers for the most recent year are as follows: Customer-driven activities Toy Centre Kids Time Sales activity 8 sales visits 6 sales visits Order taking 15 purchase orders 20 purchase orders Special handling 800 units handled 500 units handled Special shipping 18 shipments 20 shipments The following data relates to those two customers: Toy Centre Kids Time Sales revenue $400 000 $245 600 Cost of goods sold 180 000 122 000 General selling costs 48 000 36 000 General administrative costs 38 000 32 000