3-41 Elassieatinn of {tests Jan Holliday Dance Studios is a chain of 45 wholly ousted dance studios that offer private lessons in ballroom dancing. The studios are located in various cities through- out the southern and southeastern states. Holliday offers a set of 12 primate lessons; students may pay for the lessons one at a time, but each student is required to enroll for at least a lllesson plan. The Ell, title, and lll-lesson plans offer savings Each dance instructor is paid a small salary plus a commission based on the number of dance lessons provided. equhed l. Holliday's owner is interested in a strategic analysis of the business. The owner wants to understand why overall protability has declined slightly in the most recent year while other studios in the area seem to be doing well. What is the proper cost object to begin this analysis?l Explain your choice. 2. For each of the cost elements, determine the cost classication from the following list for the cost object you chose in requirement 1. [In some cases, two or more classications may apply.) Cost Elements 1. Each dancing instructor's salary 2. Manager's salary Music tapes used in instruction Utilities for the studio Parttime studio receptionist Planning and development materials sent from the home ofce Free lessons given by each studio as a pro motion . Regional TV and radio advertisements plaoed several times a year wees-new Cost Classifications a. Direct is. Indirect e. "Variable d. Fixed