a) Five Dollar Sdn Bhd produces plastic casings for smart watch. The following is a list of some of the costs which the company incurs: b) Production or product costs refer to the costs incurred by a business from manufacturing a product or providing a service. Define the following costs that business faces in producing a good or service: Plastic moulding machine depreciation (1 Mark) i. Variable cost. (2 Marks) Packaging costs ii (1 Mark) Fixed cost (2 Marks) iii. Plastic materials Semi-fixed cost (1 Mark) (2 Marks) iv. Sunk cost. (2 Marks) Advertising expenditure (1 Mark) V. (2 Marks) Opportunity cost. Depreciation of factory building (1 Mark) Electricity bill for factory (1 Mark) Wages of assembly line workers (1 Mark) Wages of factory canteen staff (1 Mark) Mobile phone bill for sales director (1 Mark) Delivery vehicle depreciation (1 Mark) Classify each item of expense as one of the following: 11. Direct labour. Direct materials. Indirect production overheads Expenses 111 IV