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2 Check my work Problem 4-14 (Static) Compute and Use Activity Rates to Determine the costs of Serving Customers [LO4-2, L04-3, L04-4] 5 points Book References Gino's Restaurant is a popular restaurant in Boston, Massachusetts. The owner of the restaurant has been trying to better understand costs at the restaurant and has hired a student intern to conduct an activity-based costing study. The intern, in consultation with the owner, identified the following major activities: Activity Cost Pool Activity Measure Serving a party of diners Number of parties served Serving a diner Number of diners served Serving drinks Number of drinks ordered A group of diners who ask to sit at the same table is counted as a party. Some costs, such as the costs of cleaning linen, are the same whether one person is at a table or the table is full. Other costs, such as washing dishes, depend on the number of diners served. Data concerning these activities are shown below. Serving a Party Serving a Diner Serving Drinks Total Total cost $ 32,800 $ 211,200 $ 69,600 $ 313,600 Total activity 8,000 parties 32,000 diners 58.000 drinks Prior to the activity based costing study, the owner knew very little about the costs of the restaurant. She knew that the total cost for the month was $313,600 and that 32,000 diners had been served. Therefore, the average cost per diner was $9.80 ($313,600+ 32,000 diners = $9.80 per diner). Required: 1. Compute the activity rates for each of the three activities. 2. According to the activity-based costing system, what is the total cost of serving each of the following parties of diners? a. A party of four diners who order three drinks in total. b. A party of two diners who do not order any drinks. c. A lone diner who orders two drinks. CH 4HWO 2 Aparty of four diners words 6. Aparty of two diners who do not anyos Alondiner who order to drinks 3. Convert the total cost you come Decor serving each of the following pris! a Aparty of four diners who order the A part of two diners who do not onder any Alondiner who orders omnes 5 D Complete this question by entering your newers in the table. Heredered According to me activity-based casting, what is the set of service diners and your termettons and to com TI Aparty of four car wieder von was so D. Aparate diners who under and Alone who orders in de