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Premium Candy Inc. is a producer of premium chocolate based in Palo Alto. ThePremium Candy, Inc. decides to examine the effect of using the dual-rate method company has a separate division for each of its two products: dark chocolate and for allocating truck costs to each round-trip. milk chocolate. Premium Candy purchases ingredients from Wisconsin for its dark chocolate division and from Louisiana for its milk chocolate division. Both locations are the same distance from Premium Candy's Palo Alto plant Premium Candy Inc. operates a fleet of trucks as a cost center that charges the. Using the dual-rate method, what are the costs allocated to the dark divisions for variable costs (drivers and fuel) and fixed costs (vehicle depreciation, insurance, and registration fees) of operating the fleet. Each division is evaluated on the basis of its operating income. For 2013, the trucking fleet had a practical capacity of 55 round-trips between the Palo Alto plant and the two suppliers. It recorded the following information: EEB (Click the icon to view the information.) EB (Click the icon to view the cost information for 2013.) Requirements chocolate division and the milk chocolate division when (a) variable costs are allocated using the budgeted rate per round-trip and actual round-trips used by each division and when (b) fixed costs are allocated based on the budgeted rate per round-trip and round-trips budgeted for each division? From the viewpoint of the dark chocolate division, what are the effects of using the dual-rate method rather than the single-rate method? (Click the icon to view the single-rate method data.) 2. Requirement 1. Using the dual-rate method, what are the costs allocated to the dark chocolate division and the milk chocolate division when (a) variable costs are allocated using the budgeted rate per round-trip and actual round-trips used by each division and when (b) fixed costs are allocated based on the budgeted rate per round-trip and round-trips budgeted for each division? Dark chocolate Milk chocolate Variable costs Fixed costs Total costs Data Table Budgeted Actual S 126,500$105,000 Costs of truck fleet Number of round-trips for dark chocolate division (Palo Alto plant- Wisconsin) Number of round-trips for milk chocolate division (Palo Alto plant-Louisiana) 35 35 20 15 Print Done