A 3PL company has three warehouses located in Tanjong Pagar, Tuas, and Changi area. The costs...

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A 3PL company has three warehouses located in Tanjong Pagar, Tuas, and Changi area. The costs and revenue information for these three warehouses are listed below: Gross revenue Cost of warehouse operations Storage Management Cost Transportation Management Cost Customer Management Cost Sales and Marketing Cost Admin Cost (a) (b) Tanjong Pagar (SK) 1200 700 100 60 50 15 Tuas (SK) 800 600 50 30 40 10 Changi (SK) 1000 500 80 20 40 12 Total (SK) 3000 1800 230 110 130 37 Compare the profitability of these three warehouses using traditional costing and activity-based costing (ABC). Which method will you recommend the company to use? The company plans to adopt robotics in all three warehouses. Review the possible benefits and disadvantages of adopting robotics in warehouse operations. A 3PL company has three warehouses located in Tanjong Pagar, Tuas, and Changi area. The costs and revenue information for these three warehouses are listed below: Gross revenue Cost of warehouse operations Storage Management Cost Transportation Management Cost Customer Management Cost Sales and Marketing Cost Admin Cost (a) (b) Tanjong Pagar (SK) 1200 700 100 60 50 15 Tuas (SK) 800 600 50 30 40 10 Changi (SK) 1000 500 80 20 40 12 Total (SK) 3000 1800 230 110 130 37 Compare the profitability of these three warehouses using traditional costing and activity-based costing (ABC). Which method will you recommend the company to use? The company plans to adopt robotics in all three warehouses. Review the possible benefits and disadvantages of adopting robotics in warehouse operations.

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a To compare profitability using traditional costing and activitybased costing ABC first calculate the total costs for each warehouse under both metho... View the full answer