1. You are using the following information to estimate costs:

Month Units Cost per Unit

January 2,000 $50

February 3,100 $50

March 3,800 $50

What type of costs are these?

1. 1. a. None of these
   2. b. nonlinear
   3. c. fixed
   4. d. mixed
   5. e. variable
2. Archer Company uses a job order cost system. During the month of September, the company worked on Job B. The information contained on the cost sheet is as follows:

3. Job B

   Beg Balance $1,500

   Direct Material 800

   Direct Labor 2,300

   The company applies overhead at 120% of direct labor cost. During September Job B was completed and sold in October. If Job B sold for $8,000, what was the amount of gross profit for this job? (Ignore any consideration of over/under applied overhead)

4. 1. a. $3,400
   2. b. $2,940
   3. c. $7,360
   4. d. $640