Johnson Case Study

| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | primitives | make up/activity | |Saver |Oscars |Midwellen |Downtown | amount of money | | proceeds handling |67 two hundred0 |800000 |0.84 | |# cases |80,000 |80,000 |8,000 |30,000 |800,000 | | | | | | | speak to |67,200 |67,200 |6,720 |25,200 |672,000 | | victorious parliamentary procedures from clients |100000 |500 |200 | |#orders |16 |40 |20 |30 |500 | | | | | | | woo |3,200 |8,000 |4,000 |6,000 |100,000 | |delivering the product |140000 |44800 |3.125 | |Miles |550 |7,600 |2,200 |920 |44,800 | | | | | | |cost |1,719 |23,750 |6,875 |2,875 |140,000 | |expditing deliveries |198000 |2500 |79.2 | |expedited |10 |250 |130 |90 |2,500 | | | | | | |cost |792 |19,800 |10,296 |7,128 |198,000 | |sales visits |90000 |360 |250 | |#visits |12 |25 |18 |9 |360 | | summation |1200000 | | | |cost |3,000 |6,250 |4,500 |2,250 |90,000 | | | | | | |Total Activity cost |75,911 |125,000 |32,391 |43,453 |1,200,000 | | | | | | | | | | | | | | | | | | |Customer sales |1,168,000 |1,192,000 |121,520 |454,500 |12,000,000 | | | | | | |Less COGS |104,800 |104,800 |104,800 |393,000 |10,480,000 | | | | | | | tax income profit |1,063,200 |1,087,200 |16,720 |61,500 |1,520,000 | | | | | | |less acitivty costs |75,911 |125,000 |32,391 |43,453 |1,200,000 | | | | | | |customer Profitablility |987,289 |962,200 |-15,671 |18,047 |320,000 | | | | | | |Ratio |84.53% |80.72% |-12.90% |3.97% |2.67% | | | | | | | | | | | | | | | | | | | | | | | | | |The first principle method is clearly superior as it allocates the costs to the accounts that incur the costs. By placing costs purely by total sales, you little girl many of the variables that could be present in the overall process.

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