limited to 20 guests and requires 4 people to serve and clean up. Cathy offers two Cathy, the manager of Cathy's Catering, Inc., uses activity-based costing to compute the costs of her catered parties. Each party types of parties, an aftemoon picnic and an evening formal dinner. The breakdown of the costs follows: Activities (and cost drivers) Afternoon Picnic Formal Dinner Advertising (parties) $ 109 per party $ 109 per party Planning (parties) $ 52 per party $134 per party Renting equipment $ 58 per party plus $ 82 per party plus (parties, guests) S 15 per guest $ 22 per guest Obtaining insurance (parties) $ 150 per party $450 per party Serving (parties, servers) S 40 per server per party $ 69 per server per party Preparing food (guests) $ 22 per guest $ 26 per guest Per party costs do not vary with the number of guests. Required: a. Compute the cost of a 20-guest afternoon picnic. Aftemoon picnic b. Compute the cost of a 20-guest evening formal dinner. Evening formal dinner c. How much should Cathy charge for each guest for each type of party if she wants to cover her costs? (Round your answers to 2 decimal places.) Afternoon picnic Formal dinner Charging Amount per guest per guest