Cost Behavior

Scooby's Pet Food Corp. produces dog treats for our furry friends. Listed below are selected cost items for the treat production. Classify each cost as either fixed or variable, and either a product or a period cost by placing an x in the appropriate boxes.

	Cost by behavior				Cost by function
	Variable	Fixed			Product	Period
Peanut butter for treats
Baking labor.................................
Factory property taxes.
Human Resources staff salaries.
Sales office rent
Accounting manager's salary.
Depreciation (straight-line) on factory equipment
Sales commissions