Chapter 1, Problem 1.22P

a.

To determine

Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The Total manufacturing overhead cost

b.

To determine

Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total direct materials cost.

c.

To determine

Concept Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total manufacturing cost.

d.

To determine

Concept Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total variable selling and administrative cost

e.

To determine

Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total variable cost.

f.

To determine

Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total fixed cost.

g.

To determine

Introduction:

Variable cost: When the cost structure is analyzed, some costs tend to change in proportion to volume of production or other related activities. Such costs or expenses incurred can be termed as variable cost. The name ‘variable cost’ itself states that the cost varies.

The total contribution margin.