Question
Montana Company reports the following total costs at two levels of production. Classify each cost as variable, fixed, or mixed. 5,000 Units 10,000 Units Indirect
Montana Company reports the following total costs at two levels of production. Classify each cost as variable, fixed, or mixed.
| 5,000 Units | 10,000 Units | |||||
| Indirect labour | $ 3,000 | $ 6,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Property taxes | 7,000 | 7,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Direct labour | 27,000 | 54,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Direct materials | 22,000 | 44,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Depreciation | 4,000 | 4,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Utilities | 3,000 | 5,000 | select a type of cost Fixed CostsMixed CostsVariable Costs | |||
| Maintenance | 9,000 | 11,000 | select a type of cost Fixed CostsMixed CostsVariable Costs |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Auditing Cases An Active Learning Approach
Authors: Mark S. Beasley, Frank A. Buckless, Steven M. Glover, Douglas F. Prawitt
2nd Edition
0130674842, 978-0130674845
