Antioch Extraction, which mines ore in Montana, uses a calendar year for both financial-reporting and tax purposes. The following selected costs were incurred in December, the low point of activity, when 1,400 tons of ore were extracted Straight-line depreciation Charitable contributions* 30,000 12,000 labor/fringe 315,000 140,000 benefits Royalties Trucking and hauling 280,000 Incurred only in December. Peak activity of 2,700 tons occurred in June, resulting in mining labor/fringe benefit costs of $607,500, royalties of $224,500, and trucking and hauling outlays of $360,000. The trucking and hauling outlays exhibit the following behavior: Less than 1,400 tons From 1,400-1,899 tons From 1,900-2,399 tons From 2,400-2,899 tons $240,000 280,000 320,000 360,000 Antioch uses the high-low method to analyze costs. Required: 1. Classify the five costs listed in terms of their behavior: variable, step-variable, committed fixed, discretionary fixed step-fixed, or semivariable 2. Calculate the total cost for next February when 1,700 tons are expected to be extracted 3-a. Is hauling 1,400 tons with respect to Antioch's trucking/hauling cost behavior cost-effective? 3-b. Given the current scenario at what number of tons can cost-effectiveness be achieved? 4. Distinguish between committed and discretionary fixed costs. If Antioch were to experience severe economic difficulties, which of the two types of fixed costs should management try to cut? 5. Speculate as to why the company's charitable contribution cost arises only in December Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3AReq 3B Req 4 Req 5 Classify the five costs listed in terms of their behavior: variable, step-variable, committed fixed, discretionary fixed, step-fixed, or semivariable a Straight-line depreciation Charitable contributions Mining labor/fringe benefits C. d. Royalties Trucking and lnond