Refer to the information for Speedy Pete's above. Assume that this information was used to construct the following formula for monthly delivery cost.

Total Delivery Cost = $41,850 + ($12.00 × Number of Deliveries)

Speedy Pete's is a small start-up company that delivers high-end coffee drinks to large metropolitan office buildings via a cutting-edge motorized coffee cart to compete with other premium coffee shops. Data for the past 8 months were collected as follows:

Month Delivery Cost Number of Deliveries

May.....................$63,450.............................1,800

June.......................67,120.............................2,010

July.......................66,990.............................2,175

August...................68,020.............................2,200

September...............73,400.............................2,550

October..................72,850.............................2,630

November...............75,450.............................2,800

December...............73,300.............................2,725

Required:

Assume that 3,000 deliveries are budgeted for the following month of January. Use the total delivery cost formula for the following calculations:

1. Calculate total variable delivery cost for January.

2. Calculate total delivery cost for January.