Units Sold Units Sold Calls Made Account Product 1 Product 2 Last ...

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Units Sold Units Sold Calls Made Account Product 1 Product 2 Last year 1 0 45 4 2 0 37 4 3 40 75 9 4 10 127 17 5 0 392 40 6 30 0 5 7 45 0 8 8 90 10 14 9 240 0 26 10 310 0 28 11 150 180 19 12 275 210 31 13 20 70 26 14 190 30 16 15 58 47 12 16 40 52 8 17 179 74 22 18 73 18 13 19 100 15 15 20 190 20 13 21 330 21 13 22 156 67 9 23 224 72 10 24 100 231 17 25 45 56 6 Totals 2895 1849 385 Above is Acme Co.'s data for the top 25 accounts in your territory last year. 600 calls are scheduled yearly with the top 25 accounts having 450 calls. Due to appointments being cancelled, 385 calls were made on the top 25 accounts. You sell two products. Product 1 has a unit selling price of $90 and product 2 is $130. Unit costs excluding direct selling costs are $44 for P1 and $86 for P2. Commisions are paid on the basis of profit contribution for the company. IT IS ALWAYS HELPFUL TO SHOW YOUR WORK! a. Which are 5 best accounts for net contribution (prior to reallocating sales calls)? b. What is the total net contribution for the top 25 accounts? c. Which accounts , if any, should be dropped? Why should they be dropped? d. Briefly explain your call allocation method. Then give your call allocation to the 25 accounts. Remember, you need to allocate 450 calls. Number of Accounts Sales Top 10 accounts $342,420.00 Next 10 Accounts $272,040.00 Next 10 Accounts $209,480.00 Next 10 Accounts $178,200.00 Next 10 Accounts $146,920.00 Next 10 Accounts $117,536.00 Next 10 Accounts $92,844.00 Next 10 Accounts $87,370.00 Next 10 Accounts $69,550.00 Last 10 Accounts $55,640.00 Totals 100 Accounts $1,572,000.00 You have 800 sales calls to allocate to the top 100 accounts. You must call on each account at least 3 times a year. You cannot see any account more than 24 times a year. Give your allocation of the calls to the top 100 accounts. Also briefly explain your call allocation.

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