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Blue%u2019s Sisters Furniture Corporation incurred the following costs. Identify

ID: 2374731 • Letter: B

Question

Blue%u2019s Sisters Furniture Corporation incurred the following costs.

Identify the costs as variable, fixed, or mixed.


1. Wood used in the production of furniture VariableFixedMixed 2. Fuel used in delivery trucks VariableFixedMixed 3. Straight-line depreciation on factory building VariableFixedMixed 4. Screws used in the production of furniture VariableFixedMixed 5. Sales staff salaries VariableFixedMixed 6. Sales commissions VariableFixedMixed 7. Property taxes VariableFixedMixed 8. Insurance on buildings VariableFixedMixed 9. Hourly wages of furniture craftsmen VariableFixedMixed 10. Salaries of factory supervisors VariableFixedMixed 11. Utilities expense VariableFixedMixed 12. Telephone bill VariableFixedMixed

Explanation / Answer

1. Wood used in the production of furniture. Variable

2. Fuel used in delivery trucks. Variable

3. Straight-line depreciation on factory building. Fixed

4. Screws used in the production of furniture. Variable

5. Sales staff salaries. Fixed

6. Sales commissions. Variable

7. Property taxes. Fixed

8. Insurance on buildings. Fixed

9. Hourly wages of furniture craftsmen. Variable

10. Salaries of factory supervisors. Fixed

11. Utilities expense. Mixed

12. Telephone bill. Mixed

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