Ethereal Company sells a product used in many manufacturing processes. The sales activity involves four activity areas:
Activity Area Cost Driver and Rate
Order taking $100 per purchase order
Sales visits $50 per visit
Delivery vehicles $1 per delivery mile
Special runs $300 per run
The following customer information is given:
Required:
What is the profitability of customer B?

Question

Ethereal Company sells a product used in many manufacturing processes. The sales activity involves four activity areas:
Activity Area Cost Driver and Rate
Order taking $100 per purchase order
Sales visits $50 per visit
Delivery vehicles $1 per delivery mile
Special runs $300 per run
The following customer information is given:
  Required:
What is the profitability of customer B?

Quizplus · Accepted Answer

The Answer of Ethereal Company sells a product used in many manufacturing processes. The sales activity involves four activity areas:
Activity Area Cost Driver and Rate
Order taking $100 per purchase order
Sales visits $50 per visit
Delivery vehicles $1 per delivery mile
Special runs $300 per run
The following customer information is given:
  Required:
What is the profitability of customer B?

Ethereal Company Sells a Product Used in Many Manufacturing Processes