Need only help with Requirement 2. Answer is either a benefit or limitation

Data Table X has three product categories: soft drivers and their rates, and the The Orwell store of Gabriel's Corner, a chain of small neighborhood convenience stores, has a drinks (35% of cost of goods sold [COGS). fresh snacks (25% of COGS), and packaged food (4 cost-driver amount budgeted to be consumed by each activity in January 2018 (Click the icon to view the four activities and their cost data.) (Click the icon to view add Read the requirements. Activity Cost Driver Ordering Number of purchase orders Delivery Number of deliveries Shelf-stocking Hours of stocking time Customer support Number of items sold January 2018 Budgeted Cost-Driver Rate $ 92 $ 76 $ 20.00 $ 0.19 January 2018 Budgeted Amount of Cost Driver Used Soft Fresh Packaged Drinks Snacks Food 28 67 17 171 95 4.500 34.400 10.600 Requirement 1. What are the total budgeted costs for each activity and the total budgeted indire Begin by calculating the budgeted cost-driver rates for February, then calculate March (Round y Budgeted Cost-Driver Rates Activity January February March Ordering $ 92.00 S 01.90800 S 01.81609 Delivery 78.00 75.92400 7 5.84808 Shelf-stocking 20.00 19.98000 99.98002 Customer support 0.19 0.18981 0.18982 Now calculate total budgeted cost for each activity and the total budgeted indirect cost for March Soft Fresh Packaged Activity Drinks Snacks Food Total Ordering $ 1,194 $ 2,571 S 1,194 S 4,959 Delivery 758 5,082 1,593 7,433 Shelf-stocking 339 3.413 1,896 5,848 Customer support 853 6,5232.0109,386 Total S 3.144 17,589 6.893 27.426 Print Done Requirement 2. What are the benefits of using a Kaizen approach to budgeting? What are the limitations of this approach, and how might Gabriel's Corner management overcome them? Begin by reviewing the following statements and then select whether each one is a benefit or limitation of a Kaizen approach to budgeting. A. It will show unfavorable variances for managers whose activities do not meet the required monthly cost reductions. This likely will put more pressure on managers to creatively seek out cost reductions B. It assumes smal incremental improvements each month. It is possible that some cost improvements arise from large discontinuous changes. C. Company takes into consideration employee suggestions. They believe that employees who actually do the job, whether in manufacturing, sales, or distribution, have the best information and knowledge of how the job can be done better. Data Table X has three product categories: soft drivers and their rates, and the The Orwell store of Gabriel's Corner, a chain of small neighborhood convenience stores, has a drinks (35% of cost of goods sold [COGS). fresh snacks (25% of COGS), and packaged food (4 cost-driver amount budgeted to be consumed by each activity in January 2018 (Click the icon to view the four activities and their cost data.) (Click the icon to view add Read the requirements. Activity Cost Driver Ordering Number of purchase orders Delivery Number of deliveries Shelf-stocking Hours of stocking time Customer support Number of items sold January 2018 Budgeted Cost-Driver Rate $ 92 $ 76 $ 20.00 $ 0.19 January 2018 Budgeted Amount of Cost Driver Used Soft Fresh Packaged Drinks Snacks Food 28 67 17 171 95 4.500 34.400 10.600 Requirement 1. What are the total budgeted costs for each activity and the total budgeted indire Begin by calculating the budgeted cost-driver rates for February, then calculate March (Round y Budgeted Cost-Driver Rates Activity January February March Ordering $ 92.00 S 01.90800 S 01.81609 Delivery 78.00 75.92400 7 5.84808 Shelf-stocking 20.00 19.98000 99.98002 Customer support 0.19 0.18981 0.18982 Now calculate total budgeted cost for each activity and the total budgeted indirect cost for March Soft Fresh Packaged Activity Drinks Snacks Food Total Ordering $ 1,194 $ 2,571 S 1,194 S 4,959 Delivery 758 5,082 1,593 7,433 Shelf-stocking 339 3.413 1,896 5,848 Customer support 853 6,5232.0109,386 Total S 3.144 17,589 6.893 27.426 Print Done Requirement 2. What are the benefits of using a Kaizen approach to budgeting? What are the limitations of this approach, and how might Gabriel's Corner management overcome them? Begin by reviewing the following statements and then select whether each one is a benefit or limitation of a Kaizen approach to budgeting. A. It will show unfavorable variances for managers whose activities do not meet the required monthly cost reductions. This likely will put more pressure on managers to creatively seek out cost reductions B. It assumes smal incremental improvements each month. It is possible that some cost improvements arise from large discontinuous changes. C. Company takes into consideration employee suggestions. They believe that employees who actually do the job, whether in manufacturing, sales, or distribution, have the best information and knowledge of how the job can be done better