Required information The following information applies to the questions displaye
ID: 2551670 • Letter: R
Question
Required information The following information applies to the questions displayed below Listed here are the total costs associated with the 2017 production of 1,000 drum sets manufactured by TrueBeat. The drum sets sell for $457 each 1. Plastic for casing $23,800 2. Wages of assembly workers-$88,800 3. Property taxes on factory-$6,0 4. Accounting staff salaries-$41,00 5. Drum stands (1,000 stands purchased) $30,00e 6. Rent cost of equipment for sales staff $24,00 7. Upper management salaries-$135,000 8. Annual flat fee for factory maintenance service-$17,000 9. Sales commissions-$20 per unit 10. Machinery depreciation, straight-line-$39,000Explanation / Answer
Cost by Behavior
Cost by Function
Costs
Variable
Fixed
Product
Period
1
Plastic for casing
$ 23,000
$ 23,000
2
Wages for assembly workers
$ 88,000
$ 88,000
3
Property taxes on factory
$ 6,000
$ 6,000
4
Accounting staff salaries
$ 41,000
$ 41,000
5
Drum stands
$ 30,000
$ 30,000
6
Rent cost of equipment for sales staff
$ 24,000
$ 24,000
7
Upper management salaries
$135,000
$ 135,000
8
Annual flat fee for factory maintenance services
$ 17,000
$ 17,000
9
Sales commissions
$20 x units sold
$20 x units sold
10
Machinery depreciation, straight-line
$ 39,000
$ 39,000
Cost by Behavior
Cost by Function
Costs
Variable
Fixed
Product
Period
1
Plastic for casing
$ 23,000
$ 23,000
2
Wages for assembly workers
$ 88,000
$ 88,000
3
Property taxes on factory
$ 6,000
$ 6,000
4
Accounting staff salaries
$ 41,000
$ 41,000
5
Drum stands
$ 30,000
$ 30,000
6
Rent cost of equipment for sales staff
$ 24,000
$ 24,000
7
Upper management salaries
$135,000
$ 135,000
8
Annual flat fee for factory maintenance services
$ 17,000
$ 17,000
9
Sales commissions
$20 x units sold
$20 x units sold
10
Machinery depreciation, straight-line
$ 39,000
$ 39,000
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