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Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management

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Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management has designed an activity-based costing system with the following activity cost pools and activity rates: Activity Cost Pool Activity Rate Supporting direct labor Order processing $18 per direct labor-hour $186 per order ed Custom design processing $ 269 per custom design Customer service $ 436 per customer Management would like an analysis of the profitability of a particular customer. Big Sky Outfitters, which has ordered the following products over the last 12 months Standard Model Custom Design Number of gliders Number of orders 2 3 0 Number of custom designs Direct labor-hours per glider 28.50 Selling price per glider $1,950 33.00 $ 2,440 $ 500 Direct materials cost per glider $ 454 The company's direct labor rate is $20 per hour Required: Using the company's activity-based costing system, compute the customer margin of Big Sky Outfitters (Round your intermediate calculations and finel answer to the nearest whole dollar amount. Loss amounts should be entered with a minus sign.) & Prav 6 of 8 EEE Next > 14

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