Quiz 3: Cost Behaviour

Which of the following processes requires one to know how costs change as output changes? A) Analyzing,reporting,and decision making B) examining and interpreting C) planning,controlling,and decision making D) recalling and summarizing

Which factor causes or leads to a change in a cost or activity? A) cost formula B) regression line C) driver D) y-intercept

What is characteristic of a fixed cost within the relevant range? A) It increases in total as output increases. B) It does not change in total as output changes. C) It decreases in total as output decreases. D) It has both a variable and a fixed component.

Which of the following is an example of a fixed cost? A) direct materials B) commissions C) electricity D) insurance

Which of the following is likely a fixed cost in a fast-food restaurant? A) cost of flour for pizza crust B) cost of pepperoni for pizza topping C) shift manager's salary D) monthly electric bill

What is relevant range? A) the normal range of inputs B) the range of output where cost relationships are valid C) the range that does not change from period to period D) the costs that do not change

If output increases by 60% and is still within the relevant range,what will be the most likely result? A) Total fixed costs will increase by 60%. B) Per-unit fixed cost will remain the same. C) Total variable costs will increase by 60%. D) Net income will increase by 60%.

What does cost behaviour analysis focus on? A) the reaction of costs to changes in profit B) the reaction of costs to change over time C) the reaction of costs to changes in activity level. D) the reaction of costs to changes in benefit

What is the range of activity within which a cost function is valid? A) the relevant range B) the normal range C) the activity range D) the discretionary range

When the level of activity increases within the relevant range,what is the effect on the fixed cost per unit? A) It decreases. B) It increases at first then decreases. C) It remains the same. D) It increases.

What is the relationship between per-unit fixed costs and output? A) Per-unit fixed costs stay the same as output changes. B) Per-unit fixed costs decrease as output increases. C) Per-unit fixed costs decrease as output decreases. D) Per-unit fixed costs increase as output increases.

Which of the following is characteristic of discretionary fixed costs? A) They cannot be easily changed. B) They often involve a long-term contract. C) They can be easily changed by management. D) They increase as output increases.

What is an example of a discretionary cost? A) executive travel costs B) the cost of leasing machinery C) licence fees for fleet of vehicles D) depreciation on a factory building

What is an example of a discretionary fixed cost? A) insurance B) advertising C) factory rent D) direct materials

What is characteristic of a committed fixed cost? A) It can be easily changed. B) It often involves a long-term contract. C) It changes when output changes. D) It includes direct materials.

What is a discretionary fixed cost for a doctor's office? A) the salary of receptionist B) the cost of newspaper advertising C) the depreciation on furniture and equipment D) the cost of forms

What is a committed fixed cost for a coffee shop? A) property taxes B) coffee cups C) coffee beans D) barista wages

What is a variable cost in a factory? A) factory supervisor's salary B) lubricant for machinery C) factory building rent D) product advertising costs

What is characteristic of variable costs within the relevant range? A) stay constant on a per unit basis as output changes B) decrease in total as output increases C) decrease in per unit as output increases D) stay constant in total as output increases

What is a variable cost for a medical lab? A) advertising on local radio station B) leasing lab equipment C) needles used to draw blood D) salary of receptionist

What is the relationship between total variable costs and output? A) Total variable costs stay the same as output changes. B) Total variable costs increase as output decreases. C) Total variable costs decrease as output increases. D) Total variable costs equal variable rate × amount of output.

What is a variable cost at an equestrian facility? A) salary of the farm manager B) cost of registration forms C) salary of the horse trainer D) rent on the buildings

Which relationship is characteristic of per-unit variable costs? A) increase as output decreases B) increase as output increases C) decrease as output decreases D) remain constant within the relevant range

Suppose the cost formula for monthly depreciation cost in a factory is as follows: Total cost = $20,000 Which type of cost does this formula represent? A) a variable cost B) a fixed cost C) a mixed cost D) a step cost

What will be the result if production volume increases from 4,000 to 5,000 units? A) Total costs will increase by 20%. B) Total costs will increase by 25%. C) Total variable costs will increase by 25%. D) Mixed and variable costs will increase by 25%.

If output increases,what is the result? A) Per-unit fixed cost will decrease. B) Total variable costs will decrease. C) Total mixed costs will decrease. D) Total mixed costs will stay the same.

If output decreases,what is the result? A) Total fixed costs will remain the same. B) Total variable costs will increase. C) Total mixed costs will remain the same. D) Total mixed costs will increase.

What is a feature of mixed costs? A) They vary in direct proportion to changes in output. B) They stay the same regardless of output. C) They have the same cost behaviour as a step cost. D) They decrease in total when output decreases.

Lindsay Company had utilities cost of $105,000 at an output level of 30,000 units.The utilities cost was a mixed cost,and the fixed portion was $60,000.What would be the best estimate of total utilities cost at an output level of 50,000 units? A) $50,000 B) $110,000 C) $125,000 D) $135,000

What is a characteristic of a mixed cost? A) contains both a fixed and variable component B) will increase as output decreases C) will decrease as output increases D) contains only variable costs

What is characteristic of step costs? A) remain the same within the relevant range B) have an increased fixed component at specified intervals C) increase in direct proportion to increases in output D) decrease in direct proportion to increases in output

What is the formula to calculate a mixed cost? A) total cost = variable rate × amount of output B) total cost = total fixed cost + (variable rate × amount of output) C) total cost = fixed rate × amount of output D) total cost = total fixed cost - (variable rate × amount of output)

What is a mixed cost? A) rent on machinery B) sugar at a bakery C) repairs and maintenance on vehicle fleet D) depreciation on production equipment

Suppose a cost's step-cost behaviour follows very narrow steps.What assumptions can be used to approximate the costs? A) variable cost assumptions B) fixed cost assumptions C) step-fixed cost assumptions D) mixed cost assumptions

When a mixed cost is graphed,what does the Y-intercept correspond to? A) the fixed cost B) the variable rate C) total fixed cost + total variable cost D) the number of units sold

When a mixed cost is graphed,what does the slope of the line represent? A) the fixed cost per unit of output B) the total cost per unit C) the sales price per unit D) the variable cost per unit of the activity driver

Refer to the Figure.Which element is the dependent variable? A) variable rate B) fixed cost C) total cost D) output

Refer to the Figure.Which element is the independent variable? A) fixed cost B) total cost C) output D) variable rate

Refer to the Figure.Which element is the intercept? A) fixed cost B) total cost C) output D) variable rate

Refer to the Figure.Which element is the slope? A) variable rate B) output C) fixed cost D) total cost

Suppose that at a given volume,total costs and fixed costs are known.How are the variable costs per unit computed? A) (total costs − fixed costs) / unit volume B) (total costs / unit volume)− fixed costs C) (total costs × unit volume)− (fixed costs / unit volume) D) total costs − (fixed costs / unit volume)

-Refer to the Figure.What is the cost behaviour of the materials cost? A) fixed B) mixed C) step D) variable

-Refer to the Figure.What is the total materials cost at a production level of 220,000 toys? A) $22,000 B) $66,000 C) $88,000 D) $132,000

-Refer to the Figure.What is the materials cost per unit of output? A) $0.10 B) $0.30 C) $0.40 D) $0.60

-Refer to the Figure.What is the total variable utility cost for the month of May? A) $1,400 B) $5,440 C) $8,080 D) $9,480

-Refer to the Figure.What is the total utility cost for the month of May? A) $1,400 B) $5,440 C) $8,080 D) $9,480

-Refer to the Figure.If Lethbridge Company incurs 9,600 labour hours for the year,what would be the estimate of total utility cost? A) $96,960 B) $98,360 C) $113,760 D) $120,960

-Refer to the Figure.Assume that output was 5,000 units in March and 10,000 units in April,utility cost is a mixed cost,and the fixed cost of utilities was $3,000.What was the variable rate per unit of output for utilities cost? A) $0.20 B) $0.30 C) $0.40 D) $0.60

-Refer to the Figure.If output was 5,000 units in March and 10,000 units in April,which of the following can be assumed? A) Utilities and materials are variable costs. B) Utilities,insurance,and depreciation are fixed costs. C) Insurance and depreciation are mixed costs. D) Materials are the only variable cost.

-Refer to the Figure.Which of the following can be assumed from the information above? A) Insurance and depreciation are fixed costs. B) Output decreased from March to April. C) Output stayed the same from March to April. D) Insurance is a mixed cost.

Which of the following is a characteristic of the high-low method? A) It is the most accurate method. B) It cannot be affected by the presence of outliers. C) It has the disadvantage of objectivity. D) It is mathematically easy to calculate.

What is the formula to calculate the variable rate of a mixed cost when using the high-low method? A) total cost at high point − (variable rate × output at high point) B) total cost at high point − (variable rate × output at low point) C) D)

Whistler Company makes downhill skis.The company controller wants to calculate the fixed and variable costs associated with janitorial services incurred by the factory.Data for the past six months were collected. Which of the following is the set of high and low months? High Low A) December October B) December November C) July August D) October November

Coefficients shown by a regression program are as follows: -Refer to the Figure.Assume that 400 machine hours are budgeted.What would be the budgeted cost for maintenance next month? A) $985 B) $2,943 C) $3,928 D) $4,913

Coefficients shown by a regression program are as follows: -Refer to the Figure.What is the fixed cost of maintenance when using the result of regression? A) $985.00 B) $978.37 C) $982.00 D) $988.00

Coefficients shown by a regression program are as follows: -Refer to the Figure.What is the variable rate of maintenance cost when using the results of regression? A) $9.82 per machine hour B) $9.85 per machine hour C) $12.14 per machine hour D) $12.74 per machine hour

Coefficients shown by a regression program are as follows: -Refer to the Figure.What is the cost formula for maintenance cost when using the result of regression? A) $985 × machine hours B) ($4,686 − $3,956) / (386 − 310) C) $9.82 × machine hours D) $985 + ($9.82 × machine hours)

Coefficients shown by a regression program are: -Refer to the Figure.Assume that 640 machine hours are budgeted.What would be the total budgeted cost for electricity next month? A) $2,225 B) $4,015 C) $6,240 D) $8,465

Coefficients shown by a regression program are: -Refer to the Figure.What is the variable rate of the electricity cost when using the results of regression? A) $9.67 per machine hour B) $9.75 per machine hour C) $10.25 per machine hour D) $13.87 per machine hour

Coefficients shown by a regression program are: -Refer to the Figure.What is the fixed cost of electricity when using the results of regression? A) $2,180 B) $2,200 C) $2,225 D) $2,250

Coefficients shown by a regression program are: -Refer to the Figure.What is the cost formula for electricity cost when using the results of regression? A) $9.75 × machine hours B) $2,225 × machine hours C) $2,225 + ($9.75 × machine hours) D) $9.75+($2,225 × machine hours)

The following cost formula was developed using monthly data for Montreal Clothing Store.Total cost = $75,620 + ($242 × number of customers) -Refer to the Figure.What does $75,620 represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using monthly data for Montreal Clothing Store.Total cost = $75,620 + ($242 × number of customers) -Refer to the Figure.What does $242 represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using monthly data for Montreal Clothing Store.Total cost = $75,620 + ($242 × number of customers) -Refer to the Figure.What does "number of customers" represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using monthly data for Montreal Clothing Store.Total cost = $75,620 + ($242 × number of customers) -Refer to the Figure.What does "total cost" represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using the monthly data for Nova Scotia Accounting Firm.Total cost = $87,100 + ($210 × number of tax returns) -Refer to Nova Scotia Accounting Firm's cost formula.What does $87,100 represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using the monthly data for Nova Scotia Accounting Firm.Total cost = $87,100 + ($210 × number of tax returns) -Refer to the Figure.What does "number of tax returns" represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using the monthly data for Nova Scotia Accounting Firm.Total cost = $87,100 + ($210 × number of tax returns) -Refer to the Figure.What does $210 represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

The following cost formula was developed using the monthly data for Nova Scotia Accounting Firm.Total cost = $87,100 + ($210 × number of tax returns) -Refer to the Figure.What does "total cost" represent? A) the independent variable B) the dependant variable C) the intercept D) the variable rate

-Refer to the Figure.Which of the following is the variable rate for the lease cost when using the high-low method? A) $37.25 B) $38.18 C) $38.20 D) $61.50

-Refer to the Figure.Which of the following is the fixed cost of leasing when using the high-low method? A) $420 B) $456 C) $482 D) $516

-Refer to the Figure.What would be Banff Company's cost formula to estimate the cost of leasing within the relevant range? A) total lease cost = $456 + ($38.20 × machine hours) B) total lease cost = $516 + ($38.18 × machine hours) C) total lease cost = $420 + ($37.25 × machine hours) D) total lease cost=$482+($61.50× machine hours)

-Refer to the Figure.What would be the estimate of Banff Company's total lease cost at a level of 500 machine hours? A) $16,464 B) $18,546 C) $19,556 D) $19,606

-Refer to the Figure.What would be the fixed cost of the janitorial services when using the high-low method? A) $4,080 B) $7,320 C) $6,120 D) $11,000

-Refer to the Figure.What would be Lake Louise Company's estimate of total janitorial cost at a level of 625 machine hours? A) $4,080 B) $6,120 C) $7,500 D) $11,580

-Refer to the Figure.Which of the following is the set of high and low months? High Low A) June August B) June July C) May July D) May August

-Refer to the Figure.What is the variable rate for the utility cost when using the high-low method? A) $1.02 B) $1.07 C) $2.00 D) $2.80

-Refer to the Figure.What is the fixed cost of electricity when using the high-low method? A) $6,400 B) $10,860 C) $13,740 D) $24,000

-Refer to the Figure.What would be the estimate of electricity cost if the factory incurred 4,700 labour hours next month? A) $9,400 B) $19,560 C) $20,260 D) $23,140

-Refer to the Figure.Which of the following is the set of high and low months? High Low A) June July B) June October C) October September D) October June

-Refer to the Figure.Which of the following is an independent-variable value used to calculate the cost line when using the high-low method? A) $4,000 B) $5,430 C) $25,160 D) $27,950

-Refer to the Figure.Which of the following is a dependent-variable value used to calculate the cost line when using the high-low method? A) $4,500 B) $5,430 C) $25,160 D) $27,900

Which is a characteristic of the scattergraph method? A) is the most accurate method B) has the advantage of objectivity C) may reveal the presence of outliers D) uses two data points

What is an attribute of the scattergraph method? A) allows a cost analyst to inspect data visually B) uses only the high and low points C) does not reveal the presence of outliers D) is complex and time consuming

Which of the following is an advantage of using the scattergraph method over the high-low method to estimate costs? A) It utilizes statistics to determine the "best fit." B) A cost analyst can review the data visually and eliminate outliers. C) It provides a superior quality cost formulae because it relies on the objective judgement of the analysts. D) The cost formula can be determined simply by looking at two points of data.

Why is managerial judgement critically important in gathering information about costs? A) It is important in determining cost behaviour. B) It helps to broaden statistical estimation results. C) Costs are enhanced by only by new managers. D) It is necessary to understand revenues.

An automobile manufacturer changes from using skilled labour to using computer-controlled assembly procedures.What impact will the past data have with respect to costs? A) Past data is useful in predicting future costs. B) Past data is of little or no value in predicting future costs. C) Past data is should be used without adjustments to predict future costs. D) Past data is representative of future costs.

Which of the following is a characteristic of the method of least squares? A) is a way to find the "best fitting" line through a set of data points B) is a graphical way of separating a mixed cost C) is easily done by hand D) uses the highest and lowest data point

Which of the following is characteristic for the method of least squares? A) It uses the results of regression analysis to construct a cost formula. B) It is less accurate than the scattergraph method. C) It analyzes a cost relationship by graphing the data points. D) It can easily be calculated without a calculator.

Which of the following is an advantage of using the method of least squares rather than the high-low method? A) It can be calculated without a calculator. B) Two points are used to develop the cost function. C) For a given set of data,it will always produce the same cost formulae. D) The outlying observations have no effect on the cost function when the calculations are complete.

-Refer to the Figure.What was the cost formula for equipment maintenance? A) total maintenance cost = $25 × machine hours B) total maintenance cost = $32,000 C) total maintenance cost = $32,000 + ($25 × machine hours) D) total maintenance cost = $25 + ($32,000 × machine hours)

-Refer to the Figure.Assume that 5,000 machine hours will be incurred in April.What would be the predicted cost of equipment maintenance for April when using the cost formula for equipment maintenance? A) $32,000 B) $93,000 C) $125,000 D) $157,000

-Refer to the Figure.What is the independent variable of the cost formula for equipment maintenance? A) number of machine hours B) the variable rate C) the fixed cost D) the total cost

-Refer to the Figure.When using a linear regression program,what is the value of the intercept (rounded to the nearest penny)? A) $0.99 B) $195.35 C) $10,630.80 D) $190,267.00

-Refer to the Figure.When using a linear regression program,what is the value of the X Variable 1 (rounded to the nearest penny)? A) $0.99 B) $8.83 C) $195.35 D) $11,594.00

-Refer to the Figure.When using a linear regression program,what is the forecasted utility cost at 2,000 machine hours (rounded to the nearest dollar)? A) $10,631 B) $28,288 C) $37,116 D) $45,945

-Refer to the Figure.When using a linear regression program,what is the forecasted utility cost at 3,000 machine hours (rounded to the nearest dollar)? A) $10,631 B) $28,288 C) $37,116 D) $45,945

-Refer to the Figure.When using a linear regression program,what is the forecasted utility cost at 4,000 machine hours (rounded to the nearest dollar)? A) $10,631 B) $28,288 C) $37,116 D) $45,945

-Refer to the Figure.When using a linear regression program,what is the yearly utility cost equation (with all variables to the nearest penny)? A) total utility cost = $127,569.60 + ($8.83 × machine hours) B) total utility cost = $10,630.80 + ($8.83 × machine hours) C) total utility cost = $8.83 + ($10,630.80 × machine hours) D) total utility cost = $10,630.80 − ($8.83 × machine hours)

A driver is a factor that causes or leads to a change in a cost.

The relevant range is the range of activity for which the assumed cost relationships are valid.

Determining cost behaviour is essential to planning,controlling,and decision making.

Cost relationships may change at output levels outside of the relevant range.

Computing fixed costs per unit may result in misleading information.

As output decreases,variable cost per unit will also decrease.

A variable cost decreases in total and per-unit when output decreases.

A cost that does change in total as output changes is a variable cost.

Fixed costs are costs that vary in total within the relevant range as the level of output increases or decreases.

As output increases,fixed costs per unit will also increase.

The cost of raw materials used is usually a variable cost.

The cost of advertising is usually a discretionary fixed cost.

A committed fixed cost can be changed relatively easily at management discretion.

Discretionary fixed costs often involve a long-term contract.

Mixed costs have both a fixed and a discretionary component.

Total variable costs = variable rate / amount of output.

The high-low method is the most accurate method to separate the cost behaviour of a mixed cost.

The slope of a mixed cost line is equal to the variable cost per unit element of the cost.

Using the high-low method,the calculation of the cost line uses the highest and lowest cost periods.

Calculation of the cost line using the high-low method tests the lowest cost period to see if it is an outlier.

"Outliers" are points that do NOT seem to fit the general pattern of behaviour.

Managerial judgment is a factor in determining cost behaviour.

Using a linear regression program,the term intercept refers to the fixed cost.

Using a linear regression program,the term "X Variable 1" refers to the dependent variable.

Using Microsoft Excel,the function REGRESSION returns the parameters of a linear regression.

Using Microsoft Excel,the function INTERCEPT returns the variable rate of the independent variable.

Using linear regression,the value of X Variable 2 equals the slope of the line.

The following six months of data were collected on electricity cost and the number of machine hours in a factory. Required:

Prince Albert Company makes cross-country skis.The company controller wants to calculate the fixed and variable costs associated with janitorial services incurred by the factory.Data for the past six months were collected. Required:

Red Deer Company manufactures motorcycles.The company's management accountant wants to calculate the fixed and variable costs associated with utility cost incurred by the factory.Data for the past six months were collected. Required:

Fredericton Company incurred the following costs and machine hours for the months of January and February. Required:

Whitehorse Company manufactures ultrasound equipment.Based on past experience,Whitehorse has found that total annual repair and maintenance cost can be represented by the following formula: total annual repair and maintenance cost = $300,000 + $10.00x,where x = machine hours.Last year,Whitehorse incurred 150,000 machine hours. Required:

London Company makes hearing aids.London has found that total electricity cost for the factory can be represented by the following formula: total annual electricity cost = $165,000 + $2.75x,where x = labour hours.Last year,London incurred 225,000 labour hours. Required:

Windsor Company incurred the following costs and machine hours during the first three months of the current year.Assume that the driver for all costs is machine hours. Required:

Coefficients shown by a regression program are: Required:

Sydney Company makes weather balloons.The company controller wanted to calculate the fixed and variable costs associated with the maintenance costs incurred by the factory.Data for the past six months were collected. Required:

Hamilton and Hamilton Attorneys at Law recently opened up a law practice.Their goal is to generate a monthly net income of $10,000.They have initially set their billing rate at $150 per hour.Their billable hours in the first month of operations (January)were 150 and in the second month of operations (February),175 billable hours.The costs incurred at these levels for January and February are given below. Required:

Sudbury Company operates a chain of trendy nail salons.The company's chief executive officer is interested in accumulating some information on the overhead costs incurred by the company.You have been asked to analyze the following six months' worth of data. A regression analysis produced the following coefficients. Required:

Nunavut Company operates a chain of cozy coffee shops.The company's chief executive officer is interested in accumulating some information on the overhead costs incurred by the company.You have been asked to analyze the following six months' worth of data. Required:

Consider each of the following independent situations. Required: For each situation,describe the cost as one of the following: fixed cost,variable cost,mixed cost,or step cost.

Inuvik Company manufactures drill presses.Based on past experience,Inuvik has found that its total overhead cost can be represented by the following formula: total overhead cost = $40,000 + $1.25x,where x = number of machine hours.Last year,Inuvik incurred 150,000 machine hours. Required:

The cost accountant for Vancouver Company used an Excel spreadsheet program to run ordinary least squares on a set of cost data for its utility cost.Vancouver's cost driver for utility cost is machine hours.The following results were produced. Required:

Brandon Company constructed the following cost formula for its monthly janitorial cost. Total monthly janitorial cost = $5,000 + ($.48 × units of output) Required:

Churchill Company has the following information available regarding costs at various levels of monthly production: Required:

The average unit cost at a monthly volume of 9,000 units is $3,and the average unit cost at a monthly volume of 22,500 units is $2.10. Required:

Machine hours and electricity costs for Wells Industries for the year were as follows: Required:

Why would cost behaviour change outside of the relevant range?

Explain the differences among variable,fixed,and mixed costs.

Explain the difference between a committed fixed cost and a discretionary fixed cost.

Why is it necessary to separate a mixed cost into its variable and fixed components?

Describe the three methods used to determine cost behaviour.

Why is managerial judgment essential to predicting cost behaviour?

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of tires

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of assembly-line workers

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Depreciation of robotic equipment

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of gear shifters

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of transporting bicycles to retailer

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of inspections

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Factory supervisor's salary

Select the appropriate cost behaviour for the following costs incurred by a bicycle manufacturer.a.Variable b.Fixed -Cost of rework

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Factory supervisor's salary

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Factory supplies

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Direct labour

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Factory insurance

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Controller's salary

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Depreciation

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Steel used in production

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Machine lubricant

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Property taxes

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Internet advertising

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Cost of leasing

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Executive travel costs

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Cost of executive training seminars

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Depreciation on equipment

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Rent of machinery

Select the appropriate type of fixed cost for each cost listed below.a.Discretionary b.Committed -Salary of manager

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Cost of lubricating machinery

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Sales commissions

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Salary of Chief Financial Officer

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Real estate taxes

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Cost of registering automobiles

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Factory supplies

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Warehouse rental

Select the appropriate cost behaviour for each of the costs listed below.a.Variable b.Fixed -Direct materials

Select the appropriate type of cost for each of the definitions below.a.Variable b.Fixed c.Mixed d.Step -Has both a variable and a fixed component

Select the appropriate type of cost for each of the definitions below.a.Variable b.Fixed c.Mixed d.Step -Will increase in total in direct proportion to an increase in the cost driver

Select the appropriate type of cost for each of the definitions below.a.Variable b.Fixed c.Mixed d.Step -Has an increased fixed component at specific intervals