Farmhouse Burger Shack is a new restaurant established by Mr. Rafael. Since Rafael is an engineer and didnt have an accounting background, he faced difficulty in identifying and classifying different costs that he incurred during the first month of his new business and thus he faced trouble making decisions for his company. He hired you as a Chief Financial Officer (CFO) in his business and provides you all the information about his last several months operations and wants you to help him in identification and classification of costs. During the first month, Rafael prepared most of the burgers using good quality minced meat and burger buns, costing $5 per burger. He employed 5 chefs and 10 waiters who he paid wages of $150 per hour and $50 per hour respectively. The first few days, Rafael himself supervised the whole production process and within a week he realized that it was difficult for him to be present at the kitchen and handle the overall administration of the business at the same time. Therefore, he hired a supervisor to supervise the works of the chefs and waiters. The salary of the supervisor is $400 per month, at the end of the month he paid 3/4th of the salary payable to the supervisor since he was employed starting from the second week of the month. On the 1st day of the month, he also purchased four air fryers paying $500 each for the machines. It was a pretty significant investment and Rafael realized that he must make his business successful to recover the cost he incurred to purchase the machines. Failure is not an option since resale value of such machines is very low. The useful life of the machines are 5 years each and salvage value at the end of their useful life is zero. The air fryers are constantly used for preparing burgers and to prepare one burger on an average 0.2 machine hours are required. Electricity cost per machine hour is $2 and cost for maintenance of the air fryers is $10/month. Along with the air fryers, depreciation cost of restaurant furniture and fixtures totals to $1200 per month. Instead of making the burgers, Farmhouse Burger Shack could rent out its kitchen space at a rent of $10,000 per year. During the month, Rafael also opened another branch at the City Centre to sell the burgers. The rent of the shop at the City Centre is $ 1,300 per month. A marketing executive and two salesmen were hired during the month as well. At the end of the month the marketing executive was paid a salary of $1,000 and salesmen are paid commission @10% for each furniture sold. During the month, as per the advice of the marketing executive, a promotion campaign was carried out and several advertisements were given in local new outlets which all together cost $5,000. Several other expense also incurred during the month which are: salary paid to the delivery company $3,500, Salary of the security guard $3,000, Depreciation of computers used by the accountant $500/month, Depreciation on utensils used in the kitchen $200/month, group insurance premium of chefs and waiters $500/month, liquid soap used by them at the end of a shift, to wash their hands $100/month.

Identify costs available in the problem above and classify them according to the various cost terms used