Business, 08.03.2021 19:10 alexandrarosete7
Nerrod Company sells its products at $720 per unit, net 30. The firm's gross margin ratio is 40 percent. The firm has estimated the following operating costs:
Activity Cost Driver and Rate
Sales calls $510 per visit
Order processing $155 per order
Deliveries $50 per order + $0.50 per mile
Sales returns $65 per return and $3.00 restocking per unit returned
Nerrod Company has gathered the following data pertaining to activities it performed for two of its customers:
XBT NINTO
Number of orders 21 2
Number of parts per order 610 2,110
Sales returns:
Number of returns 4 10
Number of units returned 40 50
Number of sales calls 8 15
Miles per delivery 10 20
Shipping terms FOB, Factory FOB, Destination
What is Nerrod's total customer batch-level cost applicable to Ninto?
Answers: 3
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Nerrod Company sells its products at $720 per unit, net 30. The firm's gross margin ratio is 40 perc...
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