Chocolat Inc. is a producer of premium chocolate Click the loon to view additional information) d in Palo Alto c ity of 50 round For 2017, the trucking had a practi recorded the following formation Click the icon to the budget and between the Pale Ale plant and the suppliers data) Read their s Requirement 1. Using the single rate method, we costs to the dark chocolate and the cho s en these threeways a Calculate the budgeted rate per round-trip and local costs b o n round budget for each vision The budgeted rate per round This wa s indi c ated to the dark chocolate for s and milk chocolate division for b. Calculate the budgeted role per round and all costs based on actual round- r ed by each d o The budgeted perrounds This translates to indirect costs owed to the dark chocol on for a nd milk chocolate division for . Caleate the actual rate per round-trip and locale costs based on actual round e d by the division The rate per round-trip is $ This tras indirectos do the dark chocolated for and chocolates for Requirement 2. Debe the advantages and disadvantages of using each of the three methods in rument When budgeted budgeted quiere the dark chocolate and the one knows 2017 that they will be charged a lot for transportation of dark chocolate and for transportation of chocolate the booms for sch o n This type of cost may the managers to the trucking feel When budgeted recta quantities are used the dark chocolate and milk chocolate divisions know a they will have to pay for transportation wartof 2017 that they will be charged This enables them to make decision knowing that Each division can control is total transportation costs by suring that the budgeted rate was based on honest times of their annual this method will provide an of the The use of actual cosas quais makes the cos t to one vision function of the actual demand of other in 2017, the actual age was there but the cho s ed had budged. Because the milk chocolate division's actual trips were the budgeted is the dark chocolate division as a proportionately share of the feed costs Would you encourage Chocolatine to use one of these methods Explain and indicate any assumptions you made of the three single-rate methods suggested in this problem, the may be the best one to use (The management of Chocolat, Inc. wurde aur that the manager of the dark chocolate and chocolate divisions do not systematically overmate the use of the feet division in an effort to drive down the r e Choose from any list or enter any number in the routes and then continue to the next question 0 Data Table of pror addition More Info Budgeted Actual $ 115,000 $ 96,750 The company has a separate division for each of its two products dark chocolate and milk chocolate Chocolat purchases ingredients from Wisconsin for its dark rip is chocolate division and from Louisiana for its milk chocolate division. Both locations colated are the same distance from Chocola's Palo Ahe plant Chocolatine operates a foot of trucks as a cost center that charges the divisions for variable costs (drivers the adva and fuel) and feed costs (veide depreciation, insurance, and registration fees) of operating the foot. Each division is evaluated on the basis of its operating income geted ped a to Print Done the fee the trucking feet. Costs of truck foot Number of round-trip for dark chocolate division (Palo Alo plant Wisconsin) Number of round-trips for milk chocolate division (Pulo Ato plant - Louisiana) Print Done 0 Requirements a quantities are used, the dark choco nsportation This enables them to make operating decision rol is total transportation costs by pates of their annual usage, this method will also provide al quantities make the costs local d budgeted. Because the milk chocol 1. Using the single-rate method, allocate costs to the dark chocolate division and the milk chocolate division in these three ways. a. Calculate the budgeted rate per round-trip and allocate costs based on round-trips budgeted for each division b. Calculate the budgeted rate per round-trip and costs based on a round-trips used by each division Calculate the actual per round trip and allocate costs based on actual Found-trips used by each division 2. Describe the advantages and disadvantages of using each of the three methods in requirement 1. Would you encourage Chocolat Inc. to use one of these methods? Explain and indicate any assumptions you made the 50 trips budgeted. The dark chocolate division used portionately share of the feed costs colatine to use one of these methode thods suggested in this problem, the systematically overestimate their would have to ensure that the managers of the dark choc