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Homework Saved Help Save & Exit Check O Required information Problem 18-1A Cost computation, classification, and analysis LO
Problem 18-1A Part 1 of 2 Required: 1. Classify each cost and its amount as (a) either variable or fixed and (b) either produ
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Answer #1
Cost by Behavior Cost by Function
Variable Fixed Product Period
1. Plastic for casing $ 18,000 $ 18,000
2. Wages of assembly workers 84,000 84,000
3. Property taxes on factory $ 6,000 6,000
4. Accounting staff salaries 40,000 $ 40,000
5. Drum stands 27,000 27,000
6. Rent cost of equipment for sales staff 48,000 48,000
7. Upper management salaries 125,000 125,000
8. Annual flat fee for factory maintenance service 21,000 21,000
9. Sales commission 20,000 20,000
10. Machinery depreciation: straight-line 36,000 36,000
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