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Classify Costs Following is a list of various costs incurred in producing replacement automobile parts. With respect to the production and sale of these auto

Classify Costs

Following is a list of various costs incurred in producing replacement automobile parts. With respect to the production and sale of these auto parts, classify each cost as either variable costs, fixed costs, or mixed costs.

1. Oil used in manufacturing equipment

FixedMixedVariable

2. Plastic

FixedMixedVariable

3. Property taxes, $165,000 per year on factory building and equipment

FixedMixedVariable

4. Salary of plant manager

FixedMixedVariable

5. Cost of labor for hourly workers

FixedMixedVariable

6. Packaging

FixedMixedVariable

7. Factory cleaning costs, $6,000 per month

FixedMixedVariable

8. Metal

FixedMixedVariable

9. Rent on warehouse, $10,000 per month plus $25 per square foot of storage used

FixedMixedVariable

10. Property insurance premiums, $3,600 per month plus $0.01 for each dollar of property over $1,200,000

FixedMixedVariable

11. Straight-line depreciation on the production equipment

FixedMixedVariable

12. Hourly wages of machine operators

FixedMixedVariable

13. Electricity costs, $0.20 per kilowatt-hour

FixedMixedVariable

14. Computer chip (purchased from a vendor)

FixedMixedVariable

15. Pension cost, $1.00 per employee hour on the job

FixedMixedVariable

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