Determine the company operating income for May

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Question - Joinus is an official distributor of entry doors for offices and homes. Joinus identifies three major activities and cost pools as ordering, cataloging, and delivering, and it reports the following data for May 2018.

Activity

Cost Driver

Quantity

Cost per unit of cost driver

Ordering

Number of orders

70

$520 per order

Cataloging

Number of titles

30

$80 per titles

Delivering

Number of deliveries

500

$35 per delivery

In May 2018, the company purchased 980 doors at an average cost of $546 and sold them at an average price of $693. Joinus incurs no other costs. The monthly investment in Joinus is $480500.

Required - Determine the company's operating income for May 2018?

Reference no: EM132800263

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