Fixed, Variable, and Mixed Costs
Habib Manufacturing has five manufacturing departments and operating and cost information for the most recent two months of activity.
| April | May |
Units produced | 4,000 | 6,000 |
Costs in each department: |
|
|
Department 1 | $16,000 | $18,000 |
Department 2 | 16,000 | 26,000 |
Department 3 | 20,000 | 20,000 |
Department 4 | 32,000 | 48,000 |
Department 5 | 16,000 | 24,000 |
Required Identify whether the cost in each department is fixed, variable, or mixed.
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