Question: Shawns CableSource has two division that share his Network costs of $345,000. Issue Calls # Time on Network hrs Fiber Optic Division 345 1245 Cable


Shawns CableSource has two division that share his Network costs of $345,000. Issue Calls # Time on Network hrs Fiber Optic Division 345 1245 Cable Division 234 895 Total 579 2140 Shawn determines that variable cost of $55,000 is directly related to calls and should be allocated to each division based on their portion of Issues calls. The remainder of the Network charges are fixed and can be allocated based on Time on the Network. What is each divisions variable and fixed cost allocation
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