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Bartolo Delivery has two divisions, air express and ground service, that share the common costs...

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Accounting

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Bartolo Delivery has two divisions, air express and ground service, that share the common costs of the company's communications network, which are $8,800,000 a year. You have the following information about the two divisions and the common communications network Time on Air express Ground service Calls (thousands) 539,000 231,000 hours) 340,000 1,020,000 Required: Determine the cost allocation if $5 28 milion of the communications network costs are fixed and allocated on the basis of time on network, and the remaining costs, which are variable, are allocated on the basis of the number of calls. (Do not round intermediate calculations. Enter your answers in thousands of dollars) Fixed Variable Total

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