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Taran Company incurred the following costs for the months of January and February: Type of Cost Insurance Utilities Depreciation Materials January $ 5,000 4,000 3,500
Taran Company incurred the following costs for the months of January and February: Type of Cost Insurance Utilities Depreciation Materials January $ 5,000 4,000 3,500 10,000 February $ 5,000 5,000 3,500 20,000 If output was 5,000 units in January and 10,000 units in February, we can assume that: a. utilities and materials are variable costs. Ob. utilities, insurance, and depreciation are fixed costs. c. insurance and depreciation are mixed costs. O d. materials are the only variable cost.
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