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Required information [ The following information applies to the questions displayed below. ] BookWeb, Incorporated, sells books and software over the Internet. A recent article
Required information
The following information applies to the questions displayed below.
BookWeb, Incorporated, sells books and software over the Internet. A recent article in a trade journal has caught the
attention of management because the company has experienced soaring inventory handling costs. The article notes that
similar firms have purchasing, warehousing, and distribution costs that average percent of sales. Thirteen percent is
attractive to BookWeb management when compared to its results for the past year, shown in the following table:
Book sales revenue totaled $ and software sales revenue totaled $ A review of the company's
activities found various inefficiencies with respect to the warehousing of books and the outgoing shipments of software. In
particular, book misplacements resulted in an extra moves and software had incorrect shipments.
d What is the cost percentage of sales for each both Books and Software line?
d In case of elimination of nonvalueadded activities, identify the correct statement.
Complete this question by entering your answers in the tabs below.
Req D
What is the cost percentage of sales for each both Books and Software line?
Note: Round your answers to decimal places.
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