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Suntol Drugs is a distributor of pharmaceutical products. Its ABC system has four activities: ...

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Accounting

Suntol Drugs is a distributor of pharmaceutical products. Its ABC system has four activities:
\table[[Activity Area,Cost Driver Rate in 2020],[1. Order Processing,$40 per order],[2. Line-item ordering,$5 per line item],[3. Store deliveries,$47 per store delivery],[4. Caton deliveries,$4 per carton]]
Rachel Lacey, the controller of Suntol Drugs, wants to use this ABC system to examine individual customer profitability within each distribution market. She focuses first on the singlestore distribution market. Information about Suntol Drugs' two biggest customers in the singlestore distribution market in August 2020 are as follows
\table[[,San Jose Pharmacy,Riverside Pharmacy],[Total orders,13,7],[Average line items per order,10,19],[Total store deliveries,5,7],[Average cartons shipped per store delivery,21,18],[Average revenue per delivery,$2,600,$1,900
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