An asterisk (*) will appear to the right of an incorrect entry. The essay answer will not be graded.
1.
Customer Sales Order Advertising
Service Processing Support
Activity cost pool
Activity base
serv. reqs. orders ads placed
Activity rate /serv. req. /order /ad
2.
Number Activity
of Activities Rate = Total
The Warehouse
Customer service serv. reqs. /req.
Sales order processing orders /order
Advertising support
ads placed /ad
Total nonmanufacturing activity costs
Kosmo Co.
Customer service serv. reqs. /req.
Sales order processing orders /order
Advertising support
ads placed /ad
Total nonmanufacturing activity costs
Advertising support
3.
The Kosmo Supply
Warehouse Co. Universe
Revenues
Cost of goods sold
Gross profit
Selling and administrative activities:
Customer service
Sales order processing
Advertising support
Total selling and admin. activities
Operating income
4.
Problem 18(4)-5B
Name:
Section:
Cells with non-gray backgrounds are protected and cannot be edited.
[Key essay answer here]
SHRUTE INC.
Customer Profitability Report
For the Year Ended December 31
[Key code here]
Answers are entered in the cells with gray backgrounds.
Score:
Key Code:
Instructions
An asterisk (*) will appear to the right of an incorrect entry. The essay answer will not be graded.
1.
Customer Sales Order Advertising
Service Processing Support
2.
Number Activity
of Activities Rate = Total
Total nonmanufacturing activity costs 49,610$
Total nonmanufacturing activity costs 301,560$
Total nonmanufacturing activity costs 62,860$
3.
The Kosmo Supply
4.
Score:
Instructions
Answers are entered in the cells with gray backgrounds.
ON
Key Code:
Problem 18(4)-5B
Name:
Section:
Cells with non-gray backgrounds are protected and cannot be edited.
Kosmo Co. has low profitability, while the other two customers have acceptable margins. This is because Kosmo Co. requires many customer
services, sales order processing, and advertising support activities. For example, Kosmo Co. orders frequently in small order sizes, which
Shrute Inc.
Customer Profitability Report
For the Year Ended December 31