Workshape Manufacturing has two classes of distributors: JIT distributors and non-JIT distributors.The JIT distributor places small, frequent orders, and the non-JIT distributor tends to place larger, less frequent orders.Both types of distributors purchase the same product.The customer activities and costs for the previous quarter are as follows:
- Calculate the activity rate for selling goods.(Note: Round answer to two decimal places.)

A) $2,583.33 per sales call
B) $3,550.66 per sales call
C) $2,200.50 per sales call
D) $4,800.40 per sales call
E) $9,400.60 per sales call

Question

Workshape Manufacturing has two classes of distributors: JIT distributors and non-JIT distributors.The JIT distributor places small, frequent orders, and the non-JIT distributor tends to place larger, less frequent orders.Both types of distributors purchase the same product.The customer activities and costs for the previous quarter are as follows:
- Calculate the activity rate for selling goods.(Note: Round answer to two decimal places.)
 
A) $2,583.33 per sales call 
B) $3,550.66 per sales call 
C) $2,200.50 per sales call 
D) $4,800.40 per sales call 
E) $9,400.60 per sales call

Quizplus · Accepted Answer

Activity rate for selling goods = Cost of selling goods / Total number of sales calls = $155,000 / 60 sales calls (30 sales calls + 30 sales calls) = $2,583.33 per sales call

Workshape Manufacturing Has Two Classes of Distributors: JIT Distributors and Non-JIT