E6-31 (similar to) EQuestion Help The Bethel store of Henderson Mart, a chain of small neighborhood convenience stores, has a Kaizen (continuous improvement) approach to budgeting monthly activity costs for each month of 2018 Henderson Mart has three product categories: soft drinks (35% of cost of goods sold [COGS), fresh snacks (25% of COGS). and packaged food (40% of COGS) The following table shows the four activities that consume indirect resources at the Bethel store, the cost drivers and their rates, and the cost-driver amount budgeted to be consumed by each activity in January 2018 (Click the icon to view additional cost driver information.) Read the requirements Requirement 1. What are the total budgeted costs for each activity and the total budgeted indirect cost for March 2018? Begin by calculating the budgeted cost-driver rates for February, then calculate March. (Round your answers to five decimal places, XXXxxx) Budgeted Cost-Driver Rates Activity January February March Ordering Delivery Shelf-stocking S 90.00 82.00 20.00 Data Table January 2018 Budgeted Cost-Driver Rate January 2018 Budgeted Amount of Cost Driver Used Fresh Packaged Activity Cost Driver Drinks Snacks Food Ordering Delivery Shelf-stocking Customer support Number of purchase orders Number of deliveries Hours of stocking time Number of items sold 25 63 178 34.800 $90 82 $ 20.00 S 0.21 21 95 4,900 11,100 PrintDone More Info Each successive month, the budgeted cost-driver rate decreases by 0.4% relative to the preceding month. So, for example, February's budgeted cost-driver rate is 0.996 times January's budgeted cost-driver rate, and March's budgeted cost-driver rate is 0.996 times the budgeted February rate. Henderson Mart assumes that the budgeted amount of cost-driver usage remains the same each month. Print Done