Steves Slop Shop, a small hamburger shop, has identified the resources used in its operations (assume each

Question:

Steve’s Slop Shop, a small hamburger shop, has identified the resources used in its operations (assume each customer’s order is a batch for this example):

a. Bread 

b. Hourly help 

c. Store rent 

d. Ground beef 

e. Catsup 

f. Advertising for Triple-Burger special

g. Salary for the store managers

h. Utilities

i. $1-off-coupon for each order

j. Bags for each order


Required

1. Classify its costs as unit-level, batch-level, product-level, or facility-level costs.

2. Suggest a proper driver for each of the above items.

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Related Book For  book-img-for-question

Cost Management A Strategic Emphasis

ISBN: 1081

6th Edition

Authors: Edward Blocher, David Stout, Paul Juras, Gary Cokins

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