Fixed and variable costs: Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs. Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process. Requirement-1: To calculate: The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Question

Want to see the full answer?

Answer 1

Question

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

I need help finding the accurate solution to this general accounting problem with valid methods.

Could you explain the steps for solving this financial accounting question accurately?

The activity rate for the Order size activity cost pool under activity-based costing is

Answer 2

Question

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Answer 6

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Answer 7

Chapter 18, Problem 2QS

To determine

Introduction:

Fixed and variable costs:

Fixed costs are non inventoriable costs that remains fixed irrespective of change in activity volumes or production. The cost is constant and there is no fluctuation in the total cost due to increase or decrease in outputs. Indirect costs and factory overheads are included in fixed costs.

Variable costs are inventoriable costs that fluctuates with the activity volume or production. The cost varies with the level of change in activity volume or production. Increase in activity or production leads to increase in total costs and decreased activity or production leads to reduction in total costs. Variable costs are helpful in decision-making process by managers in production process.

Requirement-1:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Answer 8

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Answer 9

To determine

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 13

Ch. 18 - Prob. 1DQ Ch. 18 - Prob. 2DQ Ch. 18 - Prob. 3DQ Ch. 18 - Prob. 4DQ Ch. 18 - Prob. 5DQ Ch. 18 - Prob. 6DQ Ch. 18 - Prob. 7DQ Ch. 18 - Prob. 8DQ Ch. 18 - Prob. 9DQ Ch. 18 - Prob. 10DQ

Concept explainers

Videos

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Want to see the full answer?

Chapter 18 Solutions

Concept explainers

Videos

Requirement-2: To calculate: The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.

Want to see the full answer?

Chapter 18 Solutions

Requirement-2:

To calculate:

The total cost for the usage of talks and text messages sent by sister under Plan A and Plan B offered by the company based on their fixed and variable costs.