S Following are costs for eight different items. Costs are shown for three different levels of units produced and sold. Classify each of the eight cost items as either variable, fixed, or mixed. Costs for Different Levels of Units Produced and Sold Direct labor Depreciation on factory equipment Direct materials Rent on factory building Salesperson compensation. Factory supervisor salary Factory utilities Insurance on factory building Direct labor Depreciation on factory equipment Direct materials Rent on factory building Salesperson compensation Factory supervisor salary Factory utilities Insurance on factory building At e units $ 0 At 2,000 units $ 10,000 At 4,000 units $ 20,000 3,000 3,000 3,000 0 6,000 12,000 1,000 1,000 1,000 3,000 3,000 4,000 4,000 4,000 4,000 100 500 700 800 800 800

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management analysis
Section: Chapter Questions
Problem 3DQ: Which of the following costs would be included in the cost of a manufactured product according to...
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Following are costs for eight different items. Costs are shown for three different levels of units produced and sold. Classify each of the
eight cost items as either variable, fixed, or mixed.
Costs for Different Levels of Units Produced and Sold
Direct labor
Depreciation on factory equipment
Direct materials
Rent on factory building
Salesperson compensation.
Factory supervisor salary
Factory utilities
Insurance on factory building
Direct labor
Depreciation on factory equipment
Direct materials
Rent on factory building
Salesperson compensation
Factory supervisor salary
Factory utilities
Insurance on factory building
At e units
$ 0
At 2,000 units
$ 10,000
At 4,000 units
$ 20,000
3,000
3,000
3,000
0
6,000
12,000
1,000
1,000
1,000
3,000
3,000
4,000
4,000
4,000
4,000
100
500
700
800
800
800
Transcribed Image Text:S Following are costs for eight different items. Costs are shown for three different levels of units produced and sold. Classify each of the eight cost items as either variable, fixed, or mixed. Costs for Different Levels of Units Produced and Sold Direct labor Depreciation on factory equipment Direct materials Rent on factory building Salesperson compensation. Factory supervisor salary Factory utilities Insurance on factory building Direct labor Depreciation on factory equipment Direct materials Rent on factory building Salesperson compensation Factory supervisor salary Factory utilities Insurance on factory building At e units $ 0 At 2,000 units $ 10,000 At 4,000 units $ 20,000 3,000 3,000 3,000 0 6,000 12,000 1,000 1,000 1,000 3,000 3,000 4,000 4,000 4,000 4,000 100 500 700 800 800 800
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