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Jane's Cookhouse is a popular restaurant located in a scenic setting. The owner of the restaurant has been trying to better understand costs at the

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Jane's Cookhouse is a popular restaurant located in a scenic setting. The owner of the restaurant has been trying to better understand costs at the restaurant and has hired a student intern to conduct an ABC study. The intern, in consultation with the owner, identified three major activities. The Intern then completed the first-stage allocations of costs to the activity cost pools, using data from last month's operations. The results appear below: Activity Cost Pool Activity Measure Total Coat Total activity Serving a party of diners Number of parties served $ 13,260 5,100 parties Serving a diner Number of diners served $ 94,710 12,300 diners Serving a drink Number of drinks ordered $ 28,560 10,200 drinks The above costs include all of the costs of the restaurant except for organization-sustaining costs such as rent property taxes, and top-management salarles. A group of diners who ask to sit at the same table are counted as a party. Some costs, such as the costs of cleaning linen, are the same whether one person is at a table or the table is full. Other costs, such as washing dishes, depend on the number of diners served. Prior to the ABC study, the owner knew very little about the costs of the restaurant. She knew that the total cost for the month (including organization-sustaining costs) was $196,800 and that 12,300 diners had been served. Therefore, the average cost per diner was $16. Required: 1. According to the ABC system, what is the total cost of serving each of the following parties of diners? 3. A party of four diners that orders three drinks in total. (Round your answers to 2 decimal places.) ABC Cost Activity Cost Pool Serving parties Serving diners Serving drinks Total b. A party of two diners that does not order any drinks. (Round your answers to 2 decimal places. Do not leave any empty spaces; input a 0 wherever it is required.) ABC Cost Activity Cost Pool Serving parties Serving diners Serving drinks Total c. Alone diner who orders two drinks. (Round your answers to 2 decimal places.) ABC Cost Activity Cost Pool Serving parties Serving diners Serving drinks Total 2. Convert the total costs you computed in (1) above to costs per diner. In other words, what is the average cost per diner for serving each of the following parties? a. A party of four diners that orders three drinks in total. b. A party of two diners that does not order any drinks. c. A lone diner who orders two drinks. (Round your answers to 2 decimal places.) a b por diner por diner per diner C

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