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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.

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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 $ 20 per direct labor-hour Order processing $ 202 per order Custom design processing $ 263 per custom design Customer service $ 422 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: 16 Standard Cunto Model Design Number of gliders 2 Number of orders 2 Number of custom designs 2 Direct labor-hours per glider 31.00 Selling price per glider $ 2,460 Direct materials cost per glider 5585 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 final answer to the nearest whole dollar amount. Loss amounts should be entered with a minus sign.) 2 0 29.50 $ 1,875 $ 472 Customer margin

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