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The Troy store of Henderson Mart?, a chain of small neighborhood convenience? stores, has a Kaizen? (continuous improvement) approach to budgeting monthly activity costs for each month of 2018. Henderson Mart has three product? categories: soft drinks? (35% of cost of goods sold? [COGS]), fresh snacks? (25% of? COGS), and packaged food? (40% of? COGS). The following table shows the four activities that consume indirect resources at the Troy ?store, the cost drivers and their? rates, and the? cost-driver amount budgeted to be consumed by each activity in January 2018.
Problem 1: What are the total budgeted costs for each activity and the total budgeted indirect cost for March 2018??
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