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The Downstate Block Company Has a Trucking Department That Delivers

question 133

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The Downstate Block Company has a trucking department that delivers crushed stone from the company's quarry to its two cement block production facilities-the West Plant and the East Plant. Budgeted costs for the trucking department are $700,000 per year in fixed costs and $0.50 per ton variable cost. Last year, 75,000 tons of crushed stone were budgeted to be delivered to the West Plant and 90,000 tons of crushed stone to the East Plant. During the year, the trucking department actually delivered 74,000 tons of crushed stone to the West Plant and 92,000 tons to the East Plant. Its actual costs for the year were $81,000 variable and $708,000 fixed. The level of budgeted fixed costs is determined by peak-period requirements. The West Plant requires 45% of the peak-period capacity and the East Plant requires 55%. The company allocates fixed and variable costs separately.For performance evaluation purposes, how much of the actual trucking department cost should not be charged to the plants at the end of the year?


Definitions:

Stimuli

External events or occurrences that evoke a reaction or response in organisms or systems.

Emotion-focused Coping

A strategy aimed at managing the emotions associated with stressful situations, rather than confronting the problems directly.

Coping Strategies

Techniques or methods used to manage or overcome difficulties and stress.

Family Focused Interventions

are therapeutic or preventive strategies aimed at improving the dynamics and functioning of a family to improve outcomes for all members.

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