Top Posters
Since Sunday
12
s
5
t
5
s
5
9
5
g
5
h
5
l
5
o
5
f
5
d
5
r
4
New Topic  
skully skully
wrote...
Posts: 1384
Rep: 0 0
6 years ago
Customer-Profitability Analysis for Consumer Banking Clients

Retail Customer Code   Customer-Level Operating Income   Customer Revenue   Customer-
Level Operating Income Divided by Revenue   Cumulative Customer-Level Operating Income
   (1)   (2)   (3)   (4)
A   $5,000,000   $25,000,000   ?   $5,000,000
D   3,795,000   28,000,000   ?   7,500,000
C   2,250,000   15,000,000   ?   8,250,000
B   2,650,000   7,200,000   ?   9,100,000
   13,695,000   75,200,000   ?   29,850,000

Required:
Compute the Customer-Level Operating Income.
Textbook 

Managerial Accounting: Decision Making and Motivating Performance


Edition: 1st
Authors:
Read 129 times
2 Replies
Managerial Accounting: Decision Making and Motivating Performance
University of Pittsburgh
Replies
Answer verified by a subject expert
noitulovenoitulove
wrote...
Top Poster
Posts: 852
6 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
A: 20%; D: 13.56%; C: 15%; B: 36.81%
Explanation:  Customer-Level Income:
Retail Customer A: Customer-level income: [($5,000,000 / $25,000,000)] = 20%
Retail Customer D: Customer-level income: [($3,795,000 / $28,000,000)] = 13.56%
Retail Customer C: Customer-level income: [($2,250,000 / $15,000,000)] = 15%
Retail Customer B: Customer-level income: [($2,650,000 / $7,200,000)] = 36.81%
1

Related Topics

skully Author
wrote...
6 years ago
You make it look easy lol

Thanks Thumbs Up Sign
Managerial Accounting: Decision Making and Motivating Performance
University of Pittsburgh
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  302 People Browsing
 230 Signed Up Today
Related Images
  
 276
  
 202
  
 8
Your Opinion
Which industry do you think artificial intelligence (AI) will impact the most?
Votes: 7

Previous poll results: Do you believe in global warming?