Recent competitive pressures have caused National Insurance Company to examine policles regarding personnel planning. As a start, the company has decided to experiment with and develop a time-driven ABC model for its claims processing center. A study of this support center Indicates the following three primary activitles: remote processing of customer claims, 0.5 hour; onsite processing of customer claIms, 1.0 hour, and updating/malntalnIng customer records, 0.2 hour. Onsite processing is required for larger claims, while remote processing Is done for smaller clalms. (For onsite processing, assume-for simplicity-that the clalms processors use their own automobiles.) All claims will require that the customers' records be updated. The claims processing center currently employs three full-time employees. Total annual cost of the center (salarles, depreclation, utilities, etc.) is estimated at $255,000. The net amount of avallable personnel time per year for this department is approximately 5,000 hours. Required 3. Assume that the budgeted number of offsite (I.e., remote) clalms is 1,900 for the year. What is the budgeted clalms-processing support cost to serve this subset of customers? 4. Assume that the budgeted number of onsite (I.e., large) claIms for the coming year Is 2,900 . What is the budgeted claIms-processing support cost for this subset of customers? 5. Assume now that the customer mix reflected in requirements 2 and 3 were to change as follows: number of remote cases, 2,700 ; number of onsite claims, 2,000. How much labor processing time would be needed to service this revised level of service demand? What support cost would be budgeted for each class of customer? Complete this question by entering your answers in the tabs below. Assume now that the customer mix reflected in requirements 2 and 3 were to change as follows: number of remote cases, 2,700; number of onsite claims, 2,000. How much labor processing time would be needed to service this revised level of service demand? What support cost would be budgeted for each class of customer? (Round "Processing time/claim" and "Customer record maintenance/claim" answers to 2 decimal places.) 3. Assume that the budgeted number of offsite (i.e., remote) claims is 1,900 for the year. What is the budgeted claimsprocessing support cost to serve this subset of customers? 4. Assume that the budgeted number of onsite (i,e., large) claims for the coming year is 2 ,900. What is the budgeted claimsprocessing support cost for this subset of customers? (Round "Processing time/claim" and "Customer record maintenance/claim" answers to 2 decimal places.)