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The Following Is a List of Various Costs of Producing

Question 15

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The following is a list of various costs of producing sweatshirts.Classify each cost as either a variable,fixed,or mixed cost for units produced and sold.

(a) Electricity costs of $0.025 per kilowatt-hour
(b) Warehouse rent of $6,000 per month plus $0.50 per square foot of storage used
(c) Thread
(d) Zip used in sweatshirts
(e) Janitorial costs of $2,000 per month
(f) Advertising costs of $10,000 per month
(g) Plant manager salary
(h) Color dyes for producing different colors of sweatshirts
(i) Salary of the production supervisor
(j) Straight-line depreciation on sewing machines
(k) Patterns for different designs. Patterns typically last many years before being replaced
(l) Maintenance costs for the company’s sewing machine. The cost is $2,000 per year plus $0.001 for each machine hour of use
(m) Property taxes on factory, building, and equipment
(n) Cotton and polyester cloth
(o) Hourly wages of sewing machine operators

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(a)variable
(b)mixed
(c)vari...

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