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Oslo company prepared the following contribution format income statement

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You may submit the assignment answers for Problem 5-63 exclusively in MS Excel format instead of M See YouTube video Week 6, Sample Problem #6 for the answers to #2. Revised Problem 5-65 Fresno Fiber Optics, Inc. manufactures fiber optic cables for the computer and telecommunication industries. At the request of the company VP of marketing, the cost management staff has recently completed a customerprofitability study. The following activity-based costing information was the basis for the analysis. Customer - Related Activities Sales activity Billing and Collection Order taking Special shipping Cost Driver Base Sales visits Invoices Purchase orders Shipments Cost Driver Rate $ 860 160 220 430 Customer - Related Activities Sales activity Billing and Collection Order taking Special shipping Trace Telecom 14 visits 22 invoices 26 orders 12 shipments Caltex Computer 18 visits 26 invoices 28 orders 14 shipments The following additional information has been compiled for Fresno Fiber Optics for two of its customers, Trace Telecom and Caltex Computer, for the most recent year. Sales revenue Cost of goods sold General selling costs General administrative costs Trace Telecom $ 240,000 140,000 42,000 24,000 Caltex Computer $ 226,000 110,000 32,000 18,000 Required: 1. Prepare a customer profitability analysis for Trace Telecom and Caltex Computer. (Hint: Refer to Exhibit 5-13 for guidance). 2. Build a spreadsheet: Construct an Excel spreadsheet to solve requirement (1) above. Show how the solution will change if the following information changes: Trace Telecom's cost of goods sold was $114,000 and Caltex Computer's sales revenue was $206,000. Cost Driver Rate Caltex Computer 26 invoices 14 shipments ...

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