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Dakota Office ProductsNote: on page 5 of the case the gross margin for customer B...

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Accounting

Dakota Office ProductsNote: on page 5 of the case the gross margin for customer B should be $19,000.

1. Identify expenses on the income statement that are sales fulfillment expenses and divide them into cost pools.

2. Find the rate for each cost pool.

3. Given the use of each resource in the sales fulfillment cycle, determine the profitability of each customer.

4. What should Dakota do based on the information you determined?

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