Listed here are product costs for the production of soccer balls. (1) Classify each cost (a) as either fixed or variable and (b) as either direct or indirect. (2) What pattern do you see regarding the relation between costs classified by behavior and costs classified by traceability?
| Cost by behavior | Cost by Traceability | |||
Product Cost | Variable | Fixed | Direct | Indirect | |
1. | Taxes on factory | __ | ___ | ___ | ___ |
2. | Machinery depreciation | __ | ___ | ___ | ___ |
3. | Coolants for machinery
| ___ | ___ | ___ | ___ |
4. | Wages of assembly workers | ___ | ___ | ___ | ___ |
5. | Lace to hold leather together | ___ | ___ | ___ | ___ |
6. | Leather covers for soccer balls | ___ | ___ | ___ | ___ |
7. | Annual flat fee paid for office security | ___ | ___ | ___ | ___ |
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