Question

Salon de Beauty, a local hair salon, incurred the following costs last month. (Hint Treat Salon utities as Variable cost) Salon rent Salon utilities (electric and water) Hairstylists' salaries Hairstylists' commissions (a percentage of sales) Depreciation on fixtures and equipment Shampoo and conditioner (only a small amount is used on each customer) Insurance Advertising Store manager's salary Hair dye and perm kits (each dye job or perm uses one kit) $ 1,700 $830 S 4,700 $ 3,600 $ 900 S270 $ 1,050 S 1,800 S 3,400 $ 320 Calculate each of the following, where the cost object is customers served a. Total variable costs. Total Variable Cost 5,020

Need help with C or D

Answer 1

			Direct cost	Indirect cost
Salon rent	$1,700			$1,700
Salon utilities	$830			$830
Hairstylists salaries	$4,700			$4,700
Hairstylists commissions	$3,600		$3,600
Depreciation on fixtures and equipment	$900			$900
Shampoo and conditioner	$270			$270
Insurance	$1,050			$1,050
Advertising	$1,800			$1,800
Store manager's salary	$3,400			$3,400
Hair dye and perm kits	$320		$320
Total			$3,920	$14,650