Stinler Corporation manufactures curtains for retail stores and for individual customers. The retail chain buys 70% of the curtains produced. The individual customers purchase curtains in approximately equal quantities, where the orders are about the same size. Data concerning Stinler's customer activity are as follows:

Retail Stores Individual Customers

Units sold 56,000 24,000

Orders placed 8 492

Number of sales calls 4 156

Manufacturing costs 8,000,000 3,500,000

Order-filling costs allocated 375,000 225,000

Sales force costs allocated 265,000 135,000

Currently customer-driven costs are assigned to customers based on units sold, a unit-level driver.

A.Assign costs to customers by using an ABC approach.

Retail Stores Individual Customers

Ordering

Sales calls

B.Determine the selling (order filling and sales force) cost per unit sold for each type of customer.Round your answers to the nearest cent.

Retail stores

Individual customers