Consider the Business Application "Filling Excess Capacity 'below cost'" from Ch. 10. As noted there, the determination of cost depends on the way in which costs of delivery services are allocated to the different customers. Assume that the USPS has two types of customers: people who mail first-class letters and businesses that ship packages to customers. Management at USPS wants to understand how profitable each customer group is.

Respond to the following in a minimum of 175 words:

• How would you recommend the costs of the USPS network (trucks, buildings, carriers, and so on) be allocated to these two customers to answer that question?