0 Required Information The fonowing information applies to the questions display

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0 Required Information The fonowing information applies to the questions displayed below Part 1 of 2 Usted here are the total costs associated with the 2017 production of 1,000 drum sets manufactured by TrueBeat The drum sets sell for $450 each. Plastle for cesing-$2 04 2. Wages of aasenbly workers-490,000 3. Property taxes on twetory-sa,ODD .Accousting staff salaries-438,000 S. Drus stands (1.000 stand 6. Rent cost of equipment for aales SeatE-428.000 . Annual flat fee for factory maintenance service-$15,049 commissiens-822 per un 1. Classify each cost and its amount as (a) either veriable or fixed and (b) elther product or period. (The first cost is completed as an example) 21,000 21,000 Preperty taxes on factory Drum stands Rant cost of eaipment for saies saf Prev 1 2 of 20 Next >

Explanation / Answer

1.

* Assumed that all the 1,000 units produced were sold.

Cost by Behavior Cost by Function Costs Variable Fixed Product Period 1. Plastic for Casing $ 21,000 $ 21,000 2. Wages of Assembly Workers 90,000 90,000 3. Property Taxes on Factory 8,000 8,000 4. Accounting Sataff Salaries 38,000 38,000 5. Drum Stands 35,000 35,000 6. Rent Cost of Equipment for Sales Staff 24,000 24,000 7. Upper Management Salaries 125,000 125,000 8. Annual Flat Fee for Factory Maintenance 19,000 19,000 9. Sales Commission* 22,000 22,000 10. Machinery Depreciation : Straight - Line 47,000 47,000

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