Question
1. Mrs. Holmen is an investor who wants to determine the degree of operating leverage at sales levels of 6,000 and 8,000 units. Assume that:
1. Mrs. Holmen is an investor who wants to determine the degree of operating leverage at sales levels of 6,000 and 8,000 units. Assume that: Fixed costs are $100,000; goods are sold for $40 each and Variable costs are $15 per basket.
Please, Could you make necessary calculations as an advisor to Mrs. Holmen?
2. The direct labor factory costs for the manufacturing division.
The factory supervisor's salary for the product produced.
The factory supervisor's salary for the manufacturing division.
The manufacturing overhead costs for the products produced.
The manufacturing overhead costs for the manufacturing division.
For each of the statements above, Could you please indicate whether the cost would typically be considered direct or indirect cost for the cost object given above with explanations in detail?
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