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Marvin's Kitchen Supply delivers restaurant supplies throughout the city. The firm adds 10 percent to the cost of the supplies to cover the delivery cost.

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Marvin's Kitchen Supply delivers restaurant supplies throughout the city. The firm adds 10 percent to the cost of the supplies to cover the delivery cost. The delivery fee is meant to cover the cost of delivery. A consultant has analyzed the delivery service using activity based costing methods and identified four activities. Data on these activities follow Cost Driver Volume Activity Cost Driver Cost Driver Volume Processing order Number of orders $ 70,000 5,000 orders Loading truck Number of itens 161,000 115.000 itens Delivering merchandise Number of orders 85,000 5,000 orders Processing invoice Number of invoices 68,000 4,000 invoices Total overhead $384,000 Two of Marvin's customers are City Diner and Le Chien Chaud. Data for orders and deliveries to these two customers follow Order value Number of orders Number of items Number of invoices City Diner $72,000 52 750 12 Le Chien Chaud $82,000 140 1,860 180 Required: a. What would the delivery charge for each customer be under the current policy of 10 percent of order value? b. Calculate the cost of each activity for both restaurants to determine the total activity-based costing estimate of the cost of delive to each customer. Complete this question by entering your answers in the tabs below. 54 number or orders Number of Items Number of invoices Se 140 1,800 1150 12 Required: a. What would the delivery charge for each customer be under the current policy of 10 percent of order value? b. Calculate the cost of each activity for both restaurants to determine the total activity-based costing estimate of the costat delivering to each customer Complete this question by entering your answers in the tabs below. Required A Required B What would the delivery charge for each customer be under the current policy of 10 percent of order value? Delivery Charge Per Customer City Diner Le Chien Chaud RA Required B Number OT Orders Number of items Number of invoices 52 750 12 140 1,800 180 Required: o. What would the delivery charge for each customer be under the current policy of 10 percent of order value? b. Calculate the cost of each activity for both restaurants to determine the total activity based costing estimate of the cost of deliv to each customer Complete this question by entering your answers in the tabs below. Required A Required B Calculate the cost of each activity for both restaurants to determine the total activity based costing estimate of the cost of delivering to each customer. (Do not round intermediate calculations.) City Diner Le Chien Chaud Processing order Loading truck Delivering merchandise Processing invoice Total cost

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