Hannibal Steel Company's Transport Services Department provides trucks to haul ore from the company's mine to its two

steel mills$-$the Northern Plant and the Southern Plant. Budgeted costs for the Transport Services Department total $$267,900$

per year, consisting of $$0\mathrm{.}21$ per ton variable cost and $$217,900$ fixed cost. The level of fixed cost is determined by peak$-$

period requirements. During the peak period, the Northern Plant requires $68\%$ of the Transport Services Department's

capacity and the Southern Plant requires $32\%.$

During the year, the Transport Services Department actually hauled $126,000$ tons of ore to the Northern Plant and $53,800$

tons to the Southern Plant. The Transport Services Department incurred $$370,000$ in cost during the year, of which $$52,500$

was variable and $$317,500$ was fixed.

$1.$ How much of the Transport Services Department's variable costs should be charged to each plant?

$2.$ How much of the Transport Services Department's fixed costs should be charged to each plant?

$3.$ How much, if any, of the Transport Services Department's actual total cost of $$370,000$ should be treated as a spending

variance and not charged to the plants?