apter Roll Board Inc, manufactures several models of high-quality skateboards. The company's ABC system has...
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apter Roll Board Inc, manufactures several models of high-quality skateboards. The company's ABC system has four activity cost pools, which are listed below along with their activity measures and activity rates: Activity Cost Pool Activity Measure Activity Rate Supporting direct Number of direct labour- $ 18 per direct labour- labour hours hour Batch processing Number of batches $ 94 per batch Order processing Number of orders $ 176 per order Customer service Number of customers $1,320 per customer The company just completed a single order from SkateCo for 4,000 entry-level skateboards. The order was produced in 34 batches. Each skateboard required 0.5 direct labour-hours. The selling price was $130 per skateboard, the direct materials cost was $76.80 per skateboard, and the direct labour cost was $19.00 per skateboard. This was the only order from Skate Co for the year. Required: Prepare a report showing the customer margin on sales to SkateCo for the year. Sales Required: Prepare a report showing the customer margin on sales to SkateCo for the year. Sales Costs: Direct materials Direct labour Supporting direct labour Batch processing Order processing Customer service overhead Customer margin
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