Mastery Problem: Cost-Volume-Profit Analysis Cost Behavior Cover-to-Cover Company is a manufacturer of shelving for books. The company has compiled the following cost data, and wants your help in determining the cost behavior. After reviewing the data, complete requirements (1) and (2) that follow. Total Total Total Machine Units Produced Lumber Utilities Cost Cost Depreciation Cost 7,000 shelves 14,000 shelves $70,000 140,000 $9,550 17,600 $140,000 140,000 41,750 28,000 shelves 280,000 33,700 35,000 shelves 350,000 1. Determine whether the costs in the table are variable, fixed, mixed, or none of these. 140,000 140,000 Lumber Variable Cost Utilities Depreciation Mixed Cost Fixed Cost 2. For each cost, determine the fixed portion of the cost, and the per-unit variable cost. If there is no amount or an amount is zero, enter "0". Recall that, for N = Number of Units Produced, Total Costs = (Variable Cost Per Unit x N) + Fixed Cost. Complete the following table with your answers. Round variable portion of cost (per unit) answers to two decimal places. Fixed Portion Variable Portion Cost of Cost of Cost (per Unit) Lumber 0 Utilities 1,500 Depreciation 140,000 1.15 Feedback Check My Work Review the definitions for fixed, variable, and mixed costs, and the relationships between units produced and total cost for each type of cost. Recall that the high-low method may be used to separate a cost into its fixed and variable components. High-Low Biblio Files Company is the chief competitor of Cover-to-Cover Company in the bookshelf business. Biblio Files is analyzing its manufacturing costs, and has compiled the following data for the first six months of the year. After reviewing the data, answer questions (1) through (3) that follow. Units Produced Total Cost 4,360 units $65,600 6,250 January February 300 March 1,000 15,000 April 8,800 133,750 May 1,750 June 3,015 32,500 48,000 1. From the data previously provided, help Biblio Files Company estimate the fixed and variable portions of its total costs using the high-low method. Recall that Total Costs = (Variable Cost Per Unit x Number of Units Produced) + Fixed Cost. Complete the following table. Total Fixed Cost $ 1,750 Variable Cost per Unit 15