Please Do not Give image format Allocate manufacturing, ordering, and selling costs to the two customer groups by using an activity-based management (ABM) allocation basis. Calculate the net profit before tax (NPBT) for each customer group using an ABM allocation basis.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Please Do not Give image format Allocate manufacturing, ordering, and selling costs to the two customer groups by using an activity-based management (ABM) allocation basis. Calculate the net profit before tax (NPBT) for each customer group using an ABM allocation basis.   
Table 2: Data from process activity analysis using ABM for the year ended 31 March 2023
Large national Independent
Total
small retailer
Flat-pack units sold
Orders placed
Number of sales and administrative calls or emails
Selling price per shelving per flat-pack
Manufacturing costs
Order filling costs
Salesforce and administrative costs
retailers
customers
84,000
150
150
$125
$4,200,000
$3,000
$15,000
customers
16,000
400
360
$210
$800,000
$8,000
$36,000
100,000
550
510
$5,000,000
$11,000
$51,000
Transcribed Image Text:Table 2: Data from process activity analysis using ABM for the year ended 31 March 2023 Large national Independent Total small retailer Flat-pack units sold Orders placed Number of sales and administrative calls or emails Selling price per shelving per flat-pack Manufacturing costs Order filling costs Salesforce and administrative costs retailers customers 84,000 150 150 $125 $4,200,000 $3,000 $15,000 customers 16,000 400 360 $210 $800,000 $8,000 $36,000 100,000 550 510 $5,000,000 $11,000 $51,000
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