Exercise 18-1 Bonita Company manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for two levels of production Costs Incurred Production in Units Production Costs Direct materials Direct labor Utilities Rent Maintenance Supervisory salaries 5,000 10,000 Total Cost Cost/Unit Total Cost Cost/Unit $8,000 9,500 2,000 4,000 800 1,000 $1.60 1.90 0.40 0.80 0.16 0.20 $16,000 19,000 3,300 4,000 1,400 1,000 $%1.60 1.90 0.33 0.40 0.14 0.10 Classify each cost above as either variable, fixed, or mixed Production Costs Direct materials Direct labor Utilities Rent Maintenance Supervisory salaries