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 activity-based costing (ABC) system. The budgeted usage of each activity cost driver and cost-driver rates for January 2016 for the Business Services division are: Activity Storage Requisition handling Pick packing Data entry Budgeted Activity 470,000 44,000 835,000 835,000 37,000 15,500 Cost Driver Cost-Driver Rate $0.5720/carton/month Cartons in inventory Requisitions Lines Lines Requisitions Per delivery 20.50 1.64 0.81 1.23 40.00 Desktop delivery For the month, the division expects to make 10,600 deliveries to deliver 1,060,000 cartons to customers. 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 activity-based costing (ABC) system. The budgeted usage of each activity cost driver and cost-driver rates for January 2016 for the Business Services division are: Activity Storage Requisition handling Pick packing Data entry Budgeted Activity 470,000 44,000 835,000 835,000 37,000 15,500 Cost Driver Cost-Driver Rate $0.5720/carton/month Cartons in inventory Requisitions Lines Lines Requisitions Per delivery 20.50 1.64 0.81 1.23 40.00 Desktop delivery For the month, the division expects to make 10,600 deliveries to deliver 1,060,000 cartons to customers