Question: Exercise 7-11 (Algo) Second-Stage Allocation and Margin Calculations [LO7.4, LO7-5] Foam Products, incorporated, makes foam seat cushions for the automotive and aerospace industries. The companys
Exercise 7-11 (Algo) Second-Stage Allocation and Margin Calculations [LO7.4, LO7-5] Foam Products, incorporated, makes foam seat cushions for the automotive and aerospace industries. The companys activity-bosed costing system has four activity cost pools, which are listed below along with their activity measures and activity rates: The company just completed a single order from interstate Trucking for 2.200 custom seat cushions. The order was produced in five borches. Each seat cushion required 0.7 direct labor-hours. The selling price was $141.60 per unit, the direct materials cost was $1it per unit, and the direct labor cost was $14.50 per unit. This was interstate Trucking's only order during the yeae. Required: Calculate the customer margin on sales to Interstate Trucking for the year
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