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.
A. The sal ary of a legal secretary in a law firm
B. A lease contract for a truck that requires a monthly payment of plus per
kilometre
C. The cost of lumber for a homebuilder
D. The cost of internet service that is calculated based on hours of usage
E. The cost of cell phone contract that includes a fixed monthly charge of plus a minute for long-distance calls
F. The sal ary cost of seasonal tax preparers for a CPA firm. One tax preparer can prepare 100 tax returns per month
G. A factory supervisor's salary
H. The cost of sugar in the production of soft drinks
Correct Answer:
Verified
Q11: Fixed costs are costs that vary in
Q14: Discretionary fixed costs often involve a long-term
Q17: The high-low method is the most accurate
Q19: As output increases, fixed costs per unit
Q35: Calculation of the cost line using the
Q39: Using Microsoft Excel, the function INTERCEPT returns
Q122: Using a linear regression program,the term "X
Q123: Hamilton and Hamilton Attorneys at Law
Q124: The following six months of data
Q126: London Company makes hearing aids.London has found
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents