Chapter 2 Cost Terminology and Cost Behaviors e company expects to produce 10,000 caps this month. Would type of cost to increase or decrease? Why? Can the total cost o determined? Explain. you exper c. Th 0.2 (Cost behavior) Merry Olde Games produces croquet sets. The fixed monthly e com 14 L ous monthly payments to the local utility based on the previous year's e?pected usage is paid in Janua cen ctu incrred the following costs: Mallets (2 per set) Any differen?e between ing usage. In February al and 2013 Merry Olde Games made 2000 uet $1,000 Cardboard boxes (1 per set) Croquet balls (6 per set) 3,600 8,400- 2,600 2,800 1,300 $40,700 ire hoops (12 per set, including extras) Total hourly wages for production work ers Supervisor's salary Building and equipment rental Utilities t was the per-unit cost of each component of a croquet set? a. Wha b. What was the total cost of cach croquet set c. Production for March 2013 is expected to be 2,500 croquet sets. when 2,500 sets were made, utility cost was $1,400. There ha changes at the local utility companies since that time. What is the set for March? LO.2 (Cost behavior) The next winner of America's ldol witi per ahority event for free at your school's basketball arena l L uui you fraternity $5 s37