Wollen Corporation has two operating divisionsan East Division and a West Division. The company's Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $35 per shipment. The Logistics Department's fixed costs are budgeted at $372,000 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand. Percentage of Peak-period Capacity Required Budgeted Shipments East Division 45% 1,880 West Division 55% 5,270