please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image) Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The company has a standardparaglider model, but also makes custom-designed paragliders Management has designed an activity-based costing system with thefollowing activity cost pools and activity rates:Activity Cost PoolSupporting direct laborOrder processingCustom design processingCustomer serviceActivity Rateper direct labor-hourper orderper custom design$ 22$ 196$ 260$ 420 per customerManagement would like an analysis of the profitability of a particular customer, Big Sky Outfitters, which has ordered the followingproducts over the last 12 months:Number of glidersNumber of ordersNumber of custom designsDirect labor-hours per gliderSelling price per gliderDirect materials cost per gliderThe company's direct labor rate is $18 per hour.Customer marginStandardModel131028:50$ 1,925$ 474CustomDesign22232.00$ 2,460$ 570Required:Using the company's activity-based costing system, compute the customer margin of Big Sky Outfitters.Note: Round your intermediate calculations and final answer to the nearest whole dollar amount. Loss amounts should be enteredwith a minus sign.

The customer margin is calculated as the difference between revenue earned and total costs incurred…

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 Supporting direct labor Order processing Custom design processing Customer service Activity Rate per direct labor-hour per order Number of gliders Number of orders Number of custom designs Direct labor-hours per glider $ 22 $ 196 $ 260 per custom design $ 420 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: Selling price per glider Direct materials cost per glider The company's direct labor rate is $18 per hour Standard Model 13 1 0 28:50 $ 1,925 $ 474 Custom Design 2 2 2 32.00 $ 2,460 $ 570

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 Supporting direct labor Order processing Custom design processing Customer service Activity Rate per direct labor-hour per order Number of gliders Number of orders Number of custom designs Direct labor-hours per glider $ 22 $ 196 $ 260 per custom design $ 420 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: Selling price per glider Direct materials cost per glider The company's direct labor rate is $18 per hour Standard Model 13 1 0 28:50 $ 1,925 $ 474 Custom Design 2 2 2 32.00 $ 2,460 $ 570

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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