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PLEASE USE MY NUMBERS NOT SOME OTHER NUMBERS THAT ARE INVOLVED IN SOME OTHER QUESTION THAT IS SIMILAR TO THIS. Hannibal Steel Company has a

PLEASE USE MY NUMBERS NOT SOME OTHER NUMBERS THAT ARE INVOLVED IN SOME OTHER QUESTION THAT IS SIMILAR TO THIS.

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Hannibal Steel Company has a Transport Services Department that 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 $191,200 per year, consisting of $0.2 per ton variable cost and $141,200 fixed cost. The level of fixed cost is determined by peak-period requirements. During the peak period, the Northern Plant requires 51% of the Transport Services Department's capacity and the Southern Plant requires 49% During the year, the Transport Services Department actually hauled the following amounts of ore for the two plants: Northern Plant, 121,000 tons; Southern Plant, 68,100 tons. The Transport Services Department incurred $368,000 in cost during the year, of which $53,400 was variable cost and $314,600 was fixed cost. Required 1. Determine how much of the $53,400 in variable cost should be charged to each plant. Variable cost charged to Northern Plant Variable cost charged to Southern Plant 2. Determine how much of the $314,600 in fixed cost should be charged to each plant. Fixed cost charged to Northern Plant Fixed cost charged to Southern Plant 3. Should any of the $368,000 in the Transport Services Department cost not be charged to the plants? Unallocated cost

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