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Identify Each Cost Below as Variable (V),fixed (F),or Mixed (M),relative

Question 51

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Identify each cost below as variable (V),fixed (F),or mixed (M),relative to units sold.Explain the reason for your answer.
 Units Produced 1005001,000 Total electric cost $1,500$1,650$1,700 Supervisor’s monthly salary $4,500$4,500$4,500 Assembly line workers’ per hour wage rate $30$30$30 Total materials cost $800$4,000$8,000 Depreciation on factory equipment $5,000$5,000$5,000 Total delivery costs $1,400$1,800$2,250\begin{array} { | l | r | r | r | } \hline \text { Units Produced } & 100 & 500 & 1,000 \\\hline \text { Total electric cost } & \$ 1,500 & \$ 1,650 & \$ 1,700 \\\hline \text { Supervisor's monthly salary } & \$ 4,500 & \$ 4,500 & \$ 4,500 \\\hline \text { Assembly line workers' per hour wage rate } & \$ 30 & \$ 30 & \$ 30 \\\hline \text { Total materials cost } & \$ 800 & \$ 4,000 & \$ 8,000 \\\hline \text { Depreciation on factory equipment } & \$ 5,000 & \$ 5,000 & \$ 5,000 \\\hline \text { Total delivery costs } & \$ 1,400 & \$ 1,800 & \$ 2,250 \\\hline\end{array}

Correct Answer:

verifed

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