Activity-Based Customer Costing Sleepeze Company produces mattresses for 20 retail outlets. Of the...

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Accounting

Activity-Based Customer Costing
Sleepeze Company produces mattresses for 20 retail outlets. Of the 20 retail outlets, 19 are small, separately owned furniture stores and one is a retail chain. The retail chain buys 60% of the mattresses produced. The 19 smaller customers purchase mattresses in approximately equal quantities, where the orders are about the same size. Data concerning Sleepeze's customer activity are as follows:
\table[[,Large Retailer,Smaller Retailers],[Units purchased,108,000,72,000],[Orders placed,36,3,600],[Number of sales calls,18,882],[Manufacturing costs,$43,200,000,$28,800,000
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