The Accounts Payable department at Pelletize Grillz uses a time$-$driven activity$-$based costing system. The company estimates that each minute of time in the Accounts Payable department uses $$3\mathrm{.}15$ worth of resources. Pelletize Grillz, which is very cautious with new vendors, implements an extensive quality$-$control check on all items received for the first $6$ months of using a new vendor. Management believes that after $6$ months, the quality control check is no longer needed.

Management has estimated the amount of time that each activity uses as follows:

Activity Driver Estimated Minutes

Process invoice Invoice $12$

Set up new vendor First order from new vendor $25$

Quality control Units received in first $6$ months with a new vendor $2$