The municipalities of Portage, Lilly and Wilmore are considering the implementation of a new program to handle trash disposal. A joint program has been proposed. The information related to the separate and proposed program are:

Capacity Cost

Portage 100,000 tons $2,100,000

Lilly 25,000 tons $1,400,000

Wilmore 175,000 tons $3,500,000

Joint program 300,000 tons $5,000,000

1. Allocate the $5,000,000 cost of the program using the Stand Alone Method with the individual program cost as the basis.

2. Allocate the $5,000,000 cost of the program using the Incremental Method with Wilmore as the Primary User, Portage as the 1^st Incremental User and Lilly as the 2^nd Incremental User.