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RU Help Save & Eet Submit Check my work 4 15 DOUD Worley Company buys surgical supplies from a variety of manufacturers and then resons and delivers these supplies to hundreds of hospitals Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 6%. For example, if a hospital buys supplies from Worley that cost Worley $100 to buy treturers, Worley would charge the hospital $100 to purchase these supplies For yours, Worley believed that the 6% markup covered its seling and administrative expenses and provided a reasonable profit However, in the face of declining profits Worley decided to implement an activity byged costing system to help improve its understanding of customer profitability. The company broke its selling and administ've expenses into five activities as shown Activity Cost Pool Activity Measurel Total cost Total Activity Customer deliveries (Number of deliveries $ 492,000 6,000 deliveries Manual order processing Nunter of manual orders 600,000 3,000 orders Electronic order processing Number of electronic orders) 312,000 12,000 orders Line item picking Number of line itens picked 533,000 410,000 Sir it is other organization-sustaining costs (none) 60.000 Totat setting and administrative expenses 3.2.555. Worley gathered the data below for two of the many hospitals that it serves--University and Memorial (each hos purchased medical supplies that had cost Worley $40,000 to buy from manufacturers: Pure Neces Activity Activity Measure University Memorial Number of deliveries 15 26 Number of manual orders 0 40 Number of electronie orders 11 Number of line itens picked 110 Required: 1. Compute the total revenue that Worley would receive from University and Memorial 2. Compute the activity rate for each activity cost pool 3. Compute the total activity costs that would be assigned to University and Memorial 4. Compute Worley's customer margin for University and Memorial. (Hint Do not overlook the $40,000 cost of goods sold that Worley incurred serving each hospital