Using P&G Polska and Exhibit document, can we answer the below question:

Looking at Exhibit 5, Bill Brown wonders whether the relative distribution channel profitability estimates are accurate. Could Distributor O's van sales distribution channel really be just barely breaking even? (a) Explain to Bill how distribution channel profitability is determined in Exhibit 5. Use appropriate terminology. (b) Bill heard at a management seminar about a methodology called Activity- based Costing that can help to determine distribution channel profitability more reliably than the current report. Bill asks you to assist with the implementation. Describe the activities required to distribute P&G products to customers. Speculate about potential cost drivers for a given activity. Explain your rationale for a particular cost driver. For each activity cost pool, speculate which distribution channel could be the most/least resource-demanding to serve (e.g., per 1,000 Polish Zloty of sales). You proceed to gather data on the operations of Distributor O that may provide some clues about the resource intensity of the various activities associated with distributing P&G products via the different channels. The results of this data gathering exercise are reported in Exhibit B on D2L. Drawon Exhibit B and information in the case to determine activity rates and allocate costs in the cost pools between the three distribution channels. Revise the profitability report in Exhibit 5A based on activity-based costing estimates. For simplicity, you can again assume that total net outside sales for the distributor across the three channels add up to 1,016,000 Zloty (1% in the table for all monetary amounts corresponds to 10,000 Zloty). What insights do you obtain from your analysis of the distribution channel profitability?