Question

Exercise 3.9 Variable, Fixed, and Mixed Costs Classify the following costs of activity inputs as variable, fixed, or mixed. Identify the activity and the associated activity driver that allow you to define the cost behavior. For example, assume that the resource input is “cloth in a shirt." The activity would be "sewing shirts," the cost behavior "variable," and the activity driver "units produced." Prepare your answers in the following format: Activity Cost Behavior Activity Driver a. Flu vaccine b. Salaries, equipment, and materials used for moving materials in a factory c. Forms used to file insurance claims d. Salaries, forms, and postage associated with purchasing e. Printing and postage for advertising circulars f. Equipment, labor, and parts used to repair and maintain production equipment g. Power to operate sewing machines in a clothing factory h. Wooden cabinets enclosing audio speakers i. Advertising j. Sales commissions k. Fuel for a delivery van l. Depreciation on a warehouse m. Depreciation on a forklift used to move partially completed goods n. X-ray film used in the radiology department of a hospital o. Rental car provided for a client

Answer 1

I HOPE ITS HELPFUL TO YOU IF YOU HAVE ANY DOUBTS PLS COMMENTS BELOW..I WILL BE THERE TO HELP YOU...ALL THE BEST...

ANS ::-

AS FOR GIVEN DATA...

Variable, Fixed, and Mixed Costs Classify the following costs of activity inputs as variable, fixed, or mixed. Identify the activity and the associated activity driver that allow you to define the cost behavior. For example, assume that the resource input is “cloth in a shirt." The activity would be "sewing shirts," the cost behavior "variable," and the activity driver "units produced." Prepare your answers in the following format: Activity Cost Behavior Activity Driver

EXPLANATION ::-

Cost behaviour pattern is as shown below:

a. Flu vaccine	Clients vaccinating	Variable	Number of flu shots
b. Salaries, equipment, and materials used for moving materials in a factory	Maintaining equipment	Mixed	Maintenance hours
c. Forms used to file insurance claims	Filing Claims	Variable	Number of claims
d. Salaries, forms, and postage associated with purchasing	Purchasing Goods	Mixed	Units produced
e. Printing and postage for advertising circulars	Advertising	variable	Number of advertisements
f. Equipment, labor, and parts used to repair and maintain production equipment	Maintenance service	Mixed	Number of production equipments
g. Power to operate sewing machines in a clothing factory	Sewing	Variable	Machine hours
h. Wooden cabinets enclosing audio speakers	Endosing audio speakers	Variable	Number of audio speakers
i. Advertising	Selling goods	Variable	Number of goods sold
j. Sales commissions	Selling products	Variable	Units sold
k. Fuel for a delivery van	Delivering orders	Variable	Number of orders
l. Depreciation on a warehouse	Storing Goods	Fixed	Square feet
m. Depreciation on a forklift used to move partially completed goods	Moving materials	Fixed	Number of moves
n. X-ray film used in the radiology department of a hospital	X-raying patients	Variable	Number of X rays
o. Rental car provided for a client	Transporting	Mixed	Miles driven

I HOPE YOU UNDERSTAND...

PLS RATE THUMBS UP....ITS HELPS ME ALOT...

THANK YOU...!!