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Classify the total costs of each of the following as variable, fixed, mixed, or step. Sales volume is the cost driver. ( a ) Salary
Classify the total costs of each of the following as variable, fixed, mixed, or step. Sales volume is the cost driver.
a
Salary of the department manager
Answer
b
Memory chips in a computer assembly plant
Answer
c
Real estate taxes
Answer
d
Salaries of quality inspectors when each inspector can evaluate a
Answer
maximum of units per day
e
Wages paid to production employees for the time spent working on products
Answer
f
Electric power in a factory
Answer
g
Raw materials used in production
Answer
h
Automobiles rented on the basis of a fixed charge per day plus an
Answer
additional charge per mile driven
i
Sales commissions
Answer
j
Straightline depreciation on office equipment
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