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Computing net profit for customer

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Wizard Corporation has analyzed their customer and order handling data for the past year and has determined the following costs:

Order processing cost per order $7
Additional costs if order must be expedited (rushed) $9.50

Customer technical support calls (per call) $12
Relationship management costs (per customer per year) $1200

In addition to these costs, product costs amount to 75%
In the prior year, Wizard had the following experience with one of its customers, Chester Company:
Sales $15,000
Number of orders 160
Percent of orders marked rush .70
Calls to technical support 80

Compute net profit for customer.

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Solution Summary

This solution provides computation for net profit per customer with the given costs.

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Order processing cost per order $7
Additional costs if order must be expedited (rushed) $9.50
Customer technical support calls (per call) $12
Relationship management costs (per customer per year) $1,200
Product cost 75%
...

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