Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The paraglider model, but also makes custom-designed paragliders. Management has designed an activt ollowing activity cost pools and activity rates: Activity Cost Pool Supporting direct labor Order processing Custom design processing Customer service Activity Rate $ 26 per direct labor-hour $ 284 per order $ 186 per custom design $ 379 per customer Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, whi products over the last 12 months: standard Custom Model Design Number of gliders Number of orders Number of custom designs Direct labor-hours per glider selling price per glider Direct materials cost per glider 20 3 3 e 3 26.35 $ 1,85e $ 564 28.00 $ 2,400 $ 634
Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The paraglider model, but also makes custom-designed paragliders. Management has designed an activt ollowing activity cost pools and activity rates: Activity Cost Pool Supporting direct labor Order processing Custom design processing Customer service Activity Rate $ 26 per direct labor-hour $ 284 per order $ 186 per custom design $ 379 per customer Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, whi products over the last 12 months: standard Custom Model Design Number of gliders Number of orders Number of custom designs Direct labor-hours per glider selling price per glider Direct materials cost per glider 20 3 3 e 3 26.35 $ 1,85e $ 564 28.00 $ 2,400 $ 634
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 4BE: Activity-based costing: selling and administrative expenses Jungle Junior Company manufactures and...
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