Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. thermal rising, inc., makes paragliders for sale t

Thermal Rising, Inc., makes paragliders for sale through specialty sporting goods stores. The company has...

90.2K

Verified Solution

Question

Accounting

imageimage

Thermal Rising, Inc., 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 $ 22 per direct labor-hour $ 200 per order $ 259 per custom design $ 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: Model Number of gliders Number of orders Number of custom designs Direct labor-hours per glider Selling price per glider Direct materials cost per glider Standard Custom Design 13 2 2 2 29.50 32.00 $ 1,700 $2,310 $ 448 $ 584 The company's direct labor rate is $18 per hour. The company's direct labor rate is $18 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.) Customer margin

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

The wedding date for a couple is quickly approaching, and the wedding planner must provide the...

Basic Math
Q

1 Two types of electron carrier molecules NADH and FADH2 are produced during glycolysis and...

Biology
Q

A circular coil of wire 8.60 cm in diameter has 16.0 turns and carries a...

Physics
Q

Three charges q q and q are situated in X Y plane at points 0...

Physics
Q

Alexia is reviewing for the Algebra End-of-Course exam. She made this graph representing a system...

Basic Math
Q

In a study of streams in the Adirondack Mountains the following relationship was found between...

Statistics
Q

Let dh dz = e7zFind the particular solution to the above differential equation that satisfies...

Calculus
Q

Evaluate the function h(x)=x^4+x^2-8 at the given values of the independent variable and simplify.a. h(1)...

Algebra
Q

6 Barlow Company manufactures three products-A, B, and C. The selling price, variable costs, and...

Accounting
Q

X Company is consdering buying a pat next year that it currently makes. The budgeted...

Accounting
Q

1) Based on the current corporate tax rate, calculate the corporate tax on corporate taxable...

Accounting
Q

Required information [The following information applies to the questions displayed below.) Hart, an individual, bought...

Accounting