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Required: Compute the Customer-Level Operating Income Cu 2X Customer Profitability in a manufacturing firm. Antelope Manufacturing makes a component called A1030. This component is manufactured

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Required: Compute the Customer-Level Operating Income Cu 2X Customer Profitability in a manufacturing firm. Antelope Manufacturing makes a component called A1030. This component is manufactured only when ordered by a customer, so Antelope keeps no inventory of A1030. The list price is $115 per unit, but customers who place "large" orders receive a 12%discount on price. The customers are manufacturing firms. Currently, the sales people decide whether an order is large enough to qualify for the discount. When the product is finished, it is packed in cases of 10. If the component needs to be exchanged or repaired, customers can come back within 10 days for free exchange or repair. The full cost of manufacturing a unit of A1030 is $95. n adition, Antelope incurs customer-level The full cost of manufacturing a unit of A1030 is $95. In addition, Antelope incurs customer-level costs. Customer-level costs-driver rates are: Order taking Product handling Rush order processing Exchange and repair costs $360 per order $15 per case $560 per rush order $50 per unit

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