Question
Ames Company had the following costs for the past three years in which it produced 20,000, 24,000, and 30,000 units, respectively. Year1 Year 2 Year
Ames Company had the following costs for the past three years in which it produced 20,000, 24,000, and 30,000 units, respectively.
|
| Year1 | Year 2 | Year 3 |
| Direct Materials | $40,000 | $48,000 | $60,000 |
| Utilities Expense | 22,000 | 26,000 | 32,000 |
| Property Taxes | 6,000 | 6,000 | 6,000 |
| Travel Expense | 3,000 | 3,000 | 3,000 |
| Direct Labor | 30,000 | 36,000 | 45,000 |
| Maintenance Expense | 11,000 | 13,000 | 16,000 |
Identify which of the costs were variable, fixed, and mixed.
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Management Accounting
Authors: Charles T. Horngren, Gary L. Sundem, William O. Stratton, Phillip Beaulieu
6th Canadian edition
013257084X, 1846589207, 978-0132570848
