struct and interpreta Product Profitability Report, Allocating Selling and Administrative Expenses per inc. manufactures power equipment. Naper has two primary products-generators and ar compressors. The following report was prepared by the controller for Naper's senior marketing management for Alr Generators Compressors Total Never 51,891,000 $3,023,400 54,914,400 Cost of goods sold 1,512,800 2.418,720 3,931,520 Gross profit 5378,200 $604,680 5982,880 Selling and administrative expenses 214,780 Income from operations $760,100 The mating management team was concerned that thing and administrative expenses were not traced to the products are management believed that some products consumed large amounts of selling controller was asked to prepare a complete product reporting activity based on The controlle dernied that and some expenses consisted of twee sales de processing and post sustomer Service. The controle was able to determine the activity base and activity Activity Activity Base Activity Rate Sales ordering Sales orders $70 personer Postal customer service Service requests $250 per customer Service The control determined the two bout product Generators Air Compressors 420 754 Number of 84 De confort to service Sales Order Processing Post-water Service Activities Cost Activities Cost Congresso To Darrencamentos Use the formation in to prepare a complete product proty reported for the year ended December the ve number Naperine Product Pro Report For the Year Ended December 31 Generos Ar Compressors TOM Revenues Cost of goods and Gross pro Sales order processing Post-sale customer service Total seling and administrative expense Income from operations Gross profesa percentage of sales Income from operations as percentage of sales