Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac

Exercise 48

Identify cost graphs
The following cost graphs illustrate various types of cost behavior:

For each of the following costs, identify the cost graph that best illustrates its cost be havior as the number of units produced increases:
a. Total direct materials cost
b. Electricity costs of $1,000 per month plus $0.10 per kilowatt-hour
c. Per-unit cost of straight-line depreciation on factory equipment
d. Salary of quality control supervisor, $20,000 per month
e. Per-unit direct labor cost