Question

vnluec 5.00 points Thermal Rising, Inc., makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider mdel but also makes custom-designed paragliders. Management has designed an activity-based costing system with the following activity cost pools and activity rates: Activity Cost Pool Supporting direct labor Order processing Custom design processing Customer service Activity Rate S 20 per direct labor-hour S 194 per order S 253 per custom design S 428 per customer Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, which has ordered the following products over the last 12 months: Standard Custom ModelDesign Number of gliders Number of orders Number of custom designs Direct labor-hours per glider Selling price per glider Direct materials cost per glider 15 34.00 $ 1,7002,320 S 448570 27.50 The company's direct labor rate is $22 per hour. Required Using the company's activity-based costing system, compute the customer margin of Big Sky Outfitters. (Do not round intermediate calculations. Round your final answer to the nearest dollar.) r margin

Answer 1