Managerial Accounting
7th Edition
ISBN: 9781260247886
Author: Wild
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 1, Problem 3QS
Fixed and variable costs C2
Listed below are product costs for production of footballs. Classify each cost as either variable (V) or fixed (F).
_______1. Leather covers for footballs
_______2.Machinery
_______3.Wages of assembly workers
_______4. Lace to hold footballs together
_______5. Insurance premium on building
_______6. Factory supervisor salary
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Listed here are product costs for the production of soccer balls. Classify each cost (a) as either variable (V) or fixed (F) and (b) as either direct (D) or indirect (I). What patterns do you see regarding the relation between costs classified in these two ways? b. Direct or Indirect Product Cost a. Variable or Fixed 1. Leather covers for soccer balls...... 2. Annual flat fee paid for office security. 3. Coolants for machinery.. 4. Wages of assembly workers. 5. Thread to hold leather together.......... 6. Taxes on factory 7. Machinery depreciation (stralght-line) ..... .**
TB MC Qu. 1-72 The cost of lubricants ...
The cost of lubricants used to grease a production machine in a manufacturing company is an example of a(n):
Multiple Choice
indirect material cost.
direct material cost.
period cost.
opportunity cost.
Question 4: Match Set A with Set B
Set A
Set B
A. Allocate indirect and overhead costs to unit of products based
on what actually used.
1. MOOP costing
B. Where costs vary by machine, operation, department, or some
other overhead costs.
2. Depreciation
C. Start once manufacturing operations, tooling, set-up time and
cycle time are estimated.
3. Operation costing
4. PHC costing
D. Allocate an amount of money over the recovery life of asset.
E. Estimate costs based on future and actual expenditure.
5. ABC costing
Set A
1
3
4
5
Set B
Your choice
Chapter 1 Solutions
Managerial Accounting
Ch. 1 - Prob. 1MCQCh. 1 - What is Ella Company’s current ratio? a.0.69...Ch. 1 - What is Ella Company’s acid-test ratio? a.2.39...Ch. 1 - What is Ella Company’s debt ratio? a. 25.78% b....Ch. 1 - What is Ella Company’s equity ratio? a.25.78%...Ch. 1 - Describe the managerial accountant’s role in...Ch. 1 - Distinguish between managerial and financial...Ch. 1 - Prob. 3DQCh. 1 - Prob. 4DQCh. 1 - Distinguish between (a) factory overhead and (b)...
Ch. 1 - Prob. 6DQCh. 1 - What product cost is both a prime cost and a...Ch. 1 - APPLE Assume that we tour Apple’s factory where it...Ch. 1 - Prob. 9DQCh. 1 - Prob. 10DQCh. 1 - Prob. 11DQCh. 1 - Prob. 12DQCh. 1 - Prob. 13DQCh. 1 - Prob. 14DQCh. 1 - Prob. 15DQCh. 1 - Prob. 16DQCh. 1 - Prob. 17DQCh. 1 - What are the three categories of manufacturing...Ch. 1 - List several examples of factory overhead.Ch. 1 - Prob. 20DQCh. 1 - GOOGLE Prepare a proper title for the annual...Ch. 1 - Prob. 22DQCh. 1 - Prob. 23DQCh. 1 - Prob. 24DQCh. 1 - Prob. 25DQCh. 1 - Prob. 1QSCh. 1 - Prob. 2QSCh. 1 - Fixed and variable costs C2 Listed below are...Ch. 1 - QS 14-4 Direct and indirect costs C2
Diez Company...Ch. 1 - Classifying product costs C2 Identify each of the...Ch. 1 - QS 14-6 Product and period costs C3
Identify each...Ch. 1 - Prob. 7QSCh. 1 - Prob. 8QSCh. 1 - Prob. 9QSCh. 1 - Prob. 10QSCh. 1 - Prob. 11QSCh. 1 - Prob. 12QSCh. 1 - Prob. 13QSCh. 1 - Prob. 14QSCh. 1 - Prob. 15QSCh. 1 - Prob. 16QSCh. 1 - Raw materials inventory management A1 Nestlé...Ch. 1 - Exercise 14-1 Sources of accounting information C1...Ch. 1 - Prob. 2ECh. 1 - Exercise 14-3 Cost classifications for a service...Ch. 1 - Exercise 14-4 Cost classifications for a service...Ch. 1 - Prob. 5ECh. 1 - Prob. 6ECh. 1 - Prob. 7ECh. 1 - Prob. 8ECh. 1 - Exercise 14-9 Preparing financial statements for a...Ch. 1 - Prob. 10ECh. 1 - Prob. 11ECh. 1 - Prob. 12ECh. 1 - Prob. 13ECh. 1 - Prob. 14ECh. 1 - Prob. 15ECh. 1 - Prob. 16ECh. 1 - Exercise 14-17 Lean business practice C6 Many...Ch. 1 - Prob. 18ECh. 1 - Prob. 19ECh. 1 - Prob. 1PSACh. 1 - Prob. 2PSACh. 1 - Prob. 3PSACh. 1 - Prob. 4PSACh. 1 - Prob. 5PSACh. 1 - Prob. 1PSBCh. 1 - Prob. 2PSBCh. 1 - Problem 14-3B Schedule of cost of goods...Ch. 1 - Problem 14-4B Ending inventory computation and...Ch. 1 - Prob. 5PSBCh. 1 - Prob. 1SPCh. 1 - Prob. 1AACh. 1 - Both Apple and Google (Alphabet) invest in...Ch. 1 - Samsung’s 2017 annual report discloses the...Ch. 1 - Prob. 1BTNCh. 1 - Prob. 2BTNCh. 1 - Prob. 3BTNCh. 1 - Prob. 4BTNCh. 1 - Prob. 5BTNCh. 1 - Prob. 6BTN
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Listed here are product costs for the production of soccer balls. Classify each cost (a) as either variable(V) or fixed (F) and (b) as either direct (D) or indirect (I). What patterns do you see regarding the relationbetween costs classified in these two ways?Product Cost 1. Leather covers for soccer balls . . . . . . . . . . . . . . . . . . . . . .2. Annual flat fee paid for office security3. Coolants for machinery4. Wages of assembly workers5. Thread to hold leather together6. Taxes on factory .7. Machinery depreciation (straight-line) .arrow_forwardCircle the following costs that would be included in the cost of a manufactured product according to the variable costing concept: a. rent on factory buildingb. direct materialsc. property taxes on factory buildingd. electricity purchased to operate factory equipmente. salary of factory supervisorf. depreciation on factory buildingg. direct laborarrow_forwardCost Behavior Scooby's Pet Food Corp. produces dog treats for our furry friends. Listed below are selected cost items for the treat production. Classify each cost as either fixed or variable, and either a product or a period cost by placing an x in the appropriate boxes. Cost by behavior Cost by function Variable Fixed Product Period Peanut butter for treats………… Baking labor................................. Factory property taxes……………. Human Resources staff salaries…………. Sales office rent………………… Accounting manager's salary……………. Depreciation (straight-line) on factory equipment………………………… Sales commissions………………arrow_forward
- Listed here are product costs for the production of soccer balls. Identify each cost (a) as either fixed or variable and (b) as either direct or indirect by selecting the appropriate dropdowns. Product Cost Variable or Fixed Direct or Indirect 1. Coolants for machinery 2. Benefits for assembly workers 3. Annual flat fee paid for factory security 4. Machinery depreciation (straight-line) 5. Rubber core for soccer balls 6. Insurance on factory 7. Factory rentarrow_forwardAccounting ABC manufactures wreaths according to customer specifications and ships them to customers using a logistics organization such as FedEx. Which two terms below describe the cost of shipping these wreaths? a. Variable cost and Period cost b. Fixed cost and Period cost c. Variable cost and Product cost d. Fixed cost and Product costarrow_forwardCheck my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate compl 2. Compute the contribution margin per unit. [assume direct labor is a fixed cost] 3. Compute the contribution margin per welding hour. [assume direct labor is a fixed cost] 4. Assuming direct labor is a fixed cost: a. Determine the number of WVD drums (if any) that should be purchased and the number of WVD drums and/or bike frames (if any) that should be manufactured. b. What is the increase (decrease) in net operating income that would result from this plan over current operations? 5. Compute the contribution margin per unit. [assume direct labor is a variable cost] 6. Compute the contribution margin per welding hour. [assume direct labor is a variable cost] 7. Assuming direct labor is a variable cost: a. Determine the number of WVD drums (if any) that should be purchased and the number of WVD drums and/or bike frames (if any) that should be manufactured. b.…arrow_forward
- Kingsland Metalworks manufactures custom chairs and ships them to customers using UPS. Assume stable shipping prices. Which two terms describe the cost of shipping these chairs?a. Variable cost and product costb. Variable cost and period costc. Fixed cost and product costd. Fixed cost and period costarrow_forwardA business makes two components which it uses to produce one of its products. Details are: Component A Component B Per unit information: S S Buy in price 14 17 Material 2 5 Labour 4 6 Variable overheads 6 7 General fixed overheads 4 3 Total absorption cost 16 21 The business wishes to maximise contribution and is considering whether to continue making the components internally or buy in from outside. Which components should the company buy in from outside in order to maximise its contribution? A. A only B. B only C. Both A and B D. Neither A nor Barrow_forward1 For each of the following costs, identify the cost behavior as variable, mixed, or fixed: 1. Wages of assembly line workers 2. President's salary. 3. Plant utilities, 4. Sales force commissions 5. Shipping costs 6. Factory rent. 7. Research and development expenses 8. Property taxes 9. Advertising. 10. Supplies used in productionarrow_forward
- Select the appropriate cost behavior for each of the costs listed below. Factory supplies Drag answer here Direct labor Drag answer here Direct materials Drag answer here Indirect materials Drag answer here Factory supervisor's salary Drag answer here Factory insurance Drag answer here Controller's salary Drag answer here Straight-line depreciation Drag answer here Variable or Fixedarrow_forward14. Customer life-cycle costs: Select one: a. Are the replacement costs of using a product or service. b. Are the costs to the customer of buying and using a product until it is replaced. c. Are the same as the selling life-cycle prices. d. Focus on marketing costs. e. Are the costs the selling company incurs to satisfy the customer.arrow_forwardFast Answer.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Principles of Accounting Volume 2AccountingISBN:9781947172609Author:OpenStaxPublisher:OpenStax College
Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College Pub
Financial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,
Managerial Accounting: The Cornerstone of Busines...AccountingISBN:9781337115773Author:Maryanne M. Mowen, Don R. Hansen, Dan L. HeitgerPublisher:Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
Managerial Accounting: The Cornerstone of Busines...
Accounting
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Cengage Learning
Cost Classifications - Managerial Accounting- Fixed Costs Variable Costs Direct & Indirect Costs; Author: Accounting Instruction, Help, & How To;https://www.youtube.com/watch?v=QQd1_gEF1yM;License: Standard Youtube License