Walmart Inc. uses operating costing for its retail operations. In November 2037, the company incurs $200,000,000 in costs distributed as follows:

• Store Operations: $100,000,000
• Logistics: $60,000,000
• Administration: $40,000,000

Requirements:

• Classify each cost as fixed or variable.
• Perform benchmarking analysis against industry standards.
• Prepare a cost allocation schedule.
• Identify areas where Walmart can improve efficiency and reduce costs.
• Recommend strategic initiatives based on the benchmarking analysis.