Sharon recently transitioned her career from the manufacturing sector to the service sector, where she took a job with a management training organization. She needed a change of pace and a fresh setting. Because she had 12 years of supervisory experience in manufacturing the leadership team at the management training organization was thrilled to have her. The organization provided targeted training sessions in the following areas: supervisory, management, finance and accounting, and leadership. In the team's fourth quarter planning meeting, the CEO spoke to Sharon. "Sharon, your years of studying process efficiency and effectiveness are beneficial to us, as is your work in improving information for decision-making. Further, we recognize your experience in implementing an activity-based costing system. Therefore, we are assigning you to be the team leader for our own ABC initiative with two key goals: (1) improve the accumulation and allocation of costs to our key events for improved decision-making, and (2) use this new information to drive improvements in efficiency and effectiveness throughout our processes. Are you up for the challenge?" Sharon didn't hesitate. She wanted the opportunity to bring her expertise to this new setting and participate in a team effort that could benefit many stakeholders: employees, customers, suppliers, and even the community. "I'm in" she confirmed. Once the meeting concluded, Sharon started making notes. There was much data to gather to better understand how costs were treated right now. This would help her with options within the new ABC system. At Sharon's request, the accounting supervisor provided her with the following information about this year's profitability by category, where only direct costs were assigned to each key training category throughout the year. Supervisors Finance and Accounting Management Leadership Total Revenue $140,000 $80,000 $60,000 $200,000 $480,000 Direct costs 11,000 9,000 8,000 21,000 49,000 Trainer fees Training facility costs Event support on-site 65,000 37,000 21,000 79,000 202,000 4,000 4,000 4,000 4,000 16,000 Materials 1,000 1,000 1,000 5,000 8,000 Gross margin $59,000 $29,000 $26,000 $91,000 $205,000 Indirect costs Selling general, & admin. 151,340 Operating income $53,660 (a1) Calculate the gross margin percentages for each key training area. (Round gross margin percentage to 2 decimal places, e.g. 15.25%.) Supervisors Risk Management Finance & Accountin Gross margin percentage % % (a1) Calculate the gross margin percentages for each key training area. (Round gross margin percentage to 2 decimal places, eg. 15.25%.) Management Finance & Accounting Leadership Total % % % %