Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. thermal rising, incorporated, makes paragliders fo

Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The...

60.1K

Verified Solution

Question

Accounting

Thermal Rising, Incorporated, makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management designed an activity-based costing system with the following activity cost pools and activity rates:
\table[[Activity Cost Pool,Activity Rate],[Supporting direct labor,$22 per direct labor-hour],[Order processing,$188 per order],[Custom design processing,$257 per custom design],[Customer service,$428 per customer]]
Management wants to calculate the profitability of a particular customer, Big Sky Outfitters, which ordered the following products over the last 12 months:
\table[[Number of gliders,\table[[Standard],[Model]],\table[[Custom],[Design]]],[Number of orders,11,2],[Number of custom designs,1,2],[Direct labor-hours per glider,0,2],[Selling price per glider,27.50,34.00],[Direct materials cost per glider,$1,925,$2,460
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Biology
1.2K views

3. Which would be more accurate in terms of determining numbers of viable bacterial cells in...

Programming
1.2K views

Complete the following methods in java: Consult the rest of the methods of BigInteger from its...

Medical Sciences
1.2K views

1. Why do men with prolactin-secreting tumors often present with more advance disease than do women?...

Psychology
1.2K views

Summarize 2 areas of physical development for early childhood and 2 areas of physical development for...

Accounting
1.2K views

Record the Journal Entries On February 3, 2017, FCM signed an agreement with Deion Sanders to provide...

Accounting
1.2K views

EXTRACTIVE INDUSTRIES Mine Co Ltd Stage 1 Mine Co Ltd had the following exploration and evaluation...

Physics
1.2K views

2 71 A pure inductor coil having inductance L is connected o a resistance R...

Accounting
1.2K views

Logistics Solutions provides order fulfillment services for dot.com merchants. The company maintains warehouses that stock...

Accounting
1.2K views

example of warranty provisions

Accounting
1.2K views

Compute the Contribution margin per unit. (Round answers to 2 decimal places, e.g. 15.25.)

Accounting
1.2K views

On July 1, 2020, Oriole Company invested $700,520 in a mine estimated to have 844,000...

Accounting
1.2K views

2-c. Prepare a classified balance sheet as of July 31. 2-c. Prepare a classified...