OFC Company of Kansas City prints business forms and other....

0 Required information {The foiiowing information applies to the questions oispiayed beiowj OFC Company of Kansas City prints business forms and other specialty paper products, such as writing paper, envelopes, note cards, and greeting cards. Its Business Services division offers inventory management services and desktop delivery on request. The division uses an activitybased costing (ABC) system. The budgeted usage of each activity cost driver and costdriver rates for January 2019 for the Business Services division are: Budgeted Activity Cost Driver Activity CostDriver Rate Storage Cartons in inventory 498,866 $ 0.5226 i'cartoni'rnonth Requisition handling Requisitions 48,866 23.56 Pick packing Lines 845,666 1.52 Data entry Lines 845,366 6.83 Requisition: 39,366 1.25 Desktop delivery Per delivery 16,566 41.66 | For the month, the division expects to make 10,800 deliveries to deliver 1,080,000 cartons to customers. OFC Company has decided to implement a kaizen {continuousimprovement) program to enhance operational efciency. After a careful study, management and employees agree that the rm will be able to reduce cost rates for batch-level activities by 2% and unitlevel activities {other than Storage} by 1% per month during the rst year ofthe program starting February 2019. The rm has decided to delay the implementation ofthe program for customer-sustaining and facility-level activities until 2020. The rm expects the amount of cost-driver usage in each ofthe next two months to be the same as those in January. Required: 1. Identify unitlevel and batchlevel activities. 2. What are the total budgeted costs for each activity and forthe division as a whole in February and March? Complete this question by Entering your answers in the tabs below . Required 1 Required ? Identify unit- level and batch- level activities . Storage Pick packing Data Entry - Lines Requisition handling Data Entry - Requisitions Desktop deliveryComplete this question by entering your answers in the tabs below . Required 1 Required ? What are the total budgetEd costs for Each activity and for the division as a whole in February and March ? ( DO not round intermediate calculations ." Budgeted Costs Activity February March Storage Requisition handling* Pick packing Data Entry - Lines Data Entry - Requisitions Desktop delivery Divisional totals