Cost Behavior Cover-to-Cover Company is a manufacturer of shelving for books. The company has compiled the following cost data, and wants your help in determining the cost behavior. After reviewing the data, complete requirements (1) and (2) that follow. Total Total Total Machine Units Lumber Utilities Depreciation Produced Cost Cost Cost 5,000 shelves $50,000 $7,250 $145,000 10,000 shelves 100,000 13,000 145,000 20,000 shelves 200,000 24,500 145,000 25,000 shelves 250,000 30,250 145,000 1. Determine whether the costs in the table are variable, fixed, mixed, or none of these. Lumber Variable Cost v Utilities Mixed Cost V Depreciation Fixed Cost v 2. For each cost, determine the fixed portion of the cost, and the per-unit variable cost. If there is no amount or an amount is zero, enter "0". Recall that, for N = Number of Units Produced, Total Costs = (Variable Cost Per Unit x N) + Fixed Cost. Complete the following table with your answers. Round variable portion of cost (per unit) answers to two decimal places. Fixed Portion Variable Portion Cost of Cost of Cost (per Unit) Lumber Utilities Depreciation

Cost Behavior Cover-to-Cover Company is a manufacturer of shelving for books. The company has compiled the following cost data, and wants your help in determining the cost behavior. After reviewing the data, complete requirements (1) and (2) that follow. Total Total Total Machine Units Lumber Utilities Depreciation Produced Cost Cost Cost 5,000 shelves $50,000 $7,250 $145,000 10,000 shelves 100,000 13,000 145,000 20,000 shelves 200,000 24,500 145,000 25,000 shelves 250,000 30,250 145,000 1. Determine whether the costs in the table are variable, fixed, mixed, or none of these. Lumber Variable Cost v Utilities Mixed Cost V Depreciation Fixed Cost v 2. For each cost, determine the fixed portion of the cost, and the per-unit variable cost. If there is no amount or an amount is zero, enter "0". Recall that, for N = Number of Units Produced, Total Costs = (Variable Cost Per Unit x N) + Fixed Cost. Complete the following table with your answers. Round variable portion of cost (per unit) answers to two decimal places. Fixed Portion Variable Portion Cost of Cost of Cost (per Unit) Lumber Utilities Depreciation

Name: Cost BehaviorCover-to-Cover Company is a manufacturer of shelving for
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Description: Cost BehaviorCover-to-Cover Company is a manufacturer of shelving for books. The company has compiled the following cost data, and wants your help in determining the costbehavior. After reviewing the data, complete requirements (1) and (2) that foll

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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