Question
Identify each of the following costs incurred by Universal Sports Exchange in terms of its cost behavior variable, fixed, mixed, or step. Cost Behavior a.
Identify each of the following costs incurred by Universal Sports Exchange in terms of its cost behavior variable, fixed, mixed, or step.
| Cost | Behavior | |||||
| a. | Monthly sales staff payroll of $650 plus 6% sales commission on jerseys |
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| b. | $100 monthly rental for credit card processing equipment |
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| c. | Cost of goods sold of $14.80 per jersey |
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| d. | The cost of price tags attached to each jersey |
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| e. | Inventory insurance that costs $2 per $1,000 of sales |
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| f. | Website hosting cost of $25 per month |
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FixedVariableMixedStep
FixedMixedVariableStep
StepFixedVariableMixed
StepMixedFixedVariable
VariableFixedStepMixed
FixedMixedVariableStepStep by Step Solution
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Quality Auditing A Tool For Excellence
Authors: David Mills, J. Mills
1st Edition
041245890X, 978-0412458903
