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Exercise 127 Identification of Relevant Costs [LO1] Hart Company sells and dellvers office furniture across Western Canada. The costs assoclated with the acquisition and annual

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Exercise 127 Identification of Relevant Costs [LO1] Hart Company sells and dellvers office furniture across Western Canada. The costs assoclated with the acquisition and annual operation of a delivery truck are given below: Required: 1. Assume that Hart Company owns one truck that has been driven 31,000 kllometres during the first year. Compute the average cost per kilometre of owning and operating the truck, (Round your answer to 2 decimal places.) 2. This part of the question is not part of your Connect assignment. 3. Assume that the company decides to use the truck during the second year. Near year-end, an order is recelved from a customer over 1,000 kilometres away. What costs from the previous list are relovant in a decision between using the truck to make the delivery and having the delivery done commerclally? (Round your answer to 2 decimal places.) 4. Occasionally, the company could use two trucks at the same time. For this reason, some thought is being glven to purchasing a second truck. The total kllometres driven would be the same as if only one truck were owned. What costs from the previous list are relevant to a decision about whether to purchase the second truck

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