Question
The costs for the most recent month at a hair salon are as follows: Salon rent Salon utilities (electric and water)* Hairstylists' salaries Hairstylists'
The costs for the most recent month at a hair salon are as follows: Salon rent Salon utilities (electric and water)* Hairstylists' salaries Hairstylists' commissions (a percentage of sales) Depreciation on fixtures and equipment Shampoo and conditioner (only a small amount is used on each customer) Insurance Advertising Store manager's salary Hair dye and perm kits (each dye job or perm uses one kit) "Hint: Assume utilities vary in total according to the number of customers served. Calculate each of the following, where the cost object is customers served: Required: a. Total variable costs. Total Variable Costs $ 1,300 880 5,700 3,200 700 330 1,850 2,600 2,700 420 b. Total fixed costs. Total Fixed Costs c. Total direct costs. Total Direct Costs d. Total Indirect costs. Total Indirect Costs)
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