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Home Breads manufactures types of bread, which are sold as a wholesale product to QUESTION ONE various specialty retail bakeries. Each loaf of bread requires
Home Breads manufactures types of bread, which are sold as a wholesale product to QUESTION ONE various specialty retail bakeries. Each loaf of bread requires a three-step process. The first step is mixing The mixing department combines all of the necessary ingredients to create the dough and processes it through high speed mixers. The dough is then left to rise before baking. The second step is baking, which is an entirely automated process. The baking department moulds the dough into its final shape and bakes each loaf of bread in a high temperature oven. The final step is finishing, which is entirely a manual process. The finishing department coats each loaf of bread with a special glaze, allows the bread to cool, and then carefully packages each loaf in a specialty carton for sale in retail bakeries. REQUIRED: Categorise all the costs listed on the income statement as direct or indirect AND as fixed or variable or mixed. Use the following table
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