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Rock Solid Bank and Trust (RSB&T) offers only checking accounts. Customers carn write checks and use a network of automated teller machines. RSB&T earns revenue

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Rock Solid Bank and Trust (RSB&T) offers only checking accounts. Customers carn write checks and use a network of automated teller machines. RSB&T earns revenue by investing the money deposited; currently, it averages 6.70 percent annually on its investments of those deposits. To compete with larger banks, RSB&T pays depositors 0.40 percent on all deposits. A recent study classified the bank's annual operating costs into four activities: Uhing ATM Viuting branch s 2000,000 2,500,000 uses 20,000 7225,000 5.000,000 tersactoss Number of transacions Total deposits 16.245,000 Data on two representative customers follow Branch visits of transacions Required: a. Compute RSB&T's operating profits. Answer is complete and correct. .955,000 b. Compute the profit from Customer A and Customer B, assuming that customer costs are based only on deposits. Interest costs 0.40 percent of deposits; operating costs are 6 percent of deposits. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Answer is complete and correct. c. Compute the profit from Customer A and Customer B, assuming that customer costs are computed using the information in the activity-based costing analysis. (Do not round intermediate calculations. Round your answers to 2 decimal places. Loss amounts should be indicated by a minus sign.) Answer is complete but not entirely correct. 9200 Os 2320O 280 16800 144 67 104.00 104.00

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