Using the following data of Baskins & Robbins shop answer the following questions:No. of ice cream Variable Cost Total Variable Total Fixedper ice cream costFixed cost perice creamproducedCostsO ice creamOMR 1.2OMR 0OMR 120025 ice cream1.2301200OMR 4850 ice cream1.26012002475 ice cream1.290120016100 ice cream1.2120120012 a. Draw a chart that shows the total variable costs for ice cream at various levels of activity.b. Draw a chart that shows the variable costs for each ice cream at various levels of activity.

Variable costs are those costs which will increase or decreases with the change of concerned…

Answered: a. Draw a chart that shows the total…

a. Draw a chart that shows the total variable costs for ice cream at various levels of activity. b. Draw a chart that shows the variable costs for each ice cream at various levels of activity.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

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a. Draw a chart that shows the total variable costs for ice cream at various levels of activity.
b. Draw a chart that shows the variable costs for each ice cream at various levels of activity.

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