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Activity$-$Based Customer$-$Driven Costs

Suppose that Stillwater Designs has two classes of distributors: JIT distributors and non$-$JIT distributors. The JIT distributor pla

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Calculate the total revenues per distributor category, and assign the customer costs to each distributor type by using revenues as the allocation base. Selling price for one unit is $$150.$ Round calculations to the nearest dollar.

$\backslash$table$[[$Sales $($in units$),$JIT,Non$-$JIT$],[,,,$ces small, frequent orders, and the non$-$JIT distributor tends to place larger, less frequent orders. Both types of distributors are buying the same product. Stillwater Designs provides the following information about customer$-$related activities and costs for the most recent quarter:

$\backslash$table$[[,\backslash$table$[[$JIT$],[$Distributors$]],\backslash$table$[[$Non$-$JII$],[$Distributors$]]],[$Sales orders,$1,000,100],[$Sales calls,$70,70],[$Service calls,$350,175],[$Average order size,$650,6,500],[$Manufacturing cost$/$unit$,$$$125,$$$125$Activity$-$Based Customer$-$Driven Costs activities and costs for the most recent quarter:

$\backslash$table$[[,$JIT$],[$Sistributors$,],[$Sales orders calls,$1,000],[$Service calls,$70],[$Average order size,$650],[$Manufacturing cost$/$unit$,$$$125$

Activity$-$Based Customer$-$Driven Costs activities and costs for the most recent quarter:

$\backslash$table$[[,\backslash$table$[[$JIT$],[$Distributors$]],\backslash$table$[[$Non$-$JIT$],[$Distributors$]]],[$Sales orders,$1,000,100],[$Sales calls,$70,70],[$Service calls,$350,175],[$Average order size,$650,6,500],[$Manufacturing cost$/$unit$,$$$125,$$$125$

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