Cost behavior identification C1 Listed here are four series of separate costs measured at various volume levels. Examine each series and identify whether it is best described as a fixed, variable, step-wise, or curvilinear cost. (It can help to graph each cost series.) Volume (Units) Series 1 Series 2 Series 3 Series 4 0 1 0 1150 $ 900 $100 100 ... 800 1.500 150 150 800 8OO 105 200 120 300 . 2,400 150 1,600 145 100.. 3,200 150 1.500 190 500 4.000 150 2.400 250 600 4.800 150 2.400 320

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Answer 1

Textbook Question

Chapter 21, Problem 1QS

Cost behavior identification
C1
Listed here are four series of separate costs measured at various volume levels. Examine each series and identify whether it is best described as a fixed, variable, step-wise, or curvilinear cost. (It can help to graph each cost series.)

Volume (Units)	Series 1	Series 2	Series 3	Series 4
0	1 0	1150	$ 900	$100
100	... 800 1.500	150 150	800 8OO	105
200	120
300	. 2,400	150	1,600	145
100..	3,200	150	1.500	190
500	4.000	150	2.400	250
600	4.800	150	2.400	320

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

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Students have asked these similar questions

Following are four series of costs measured at various volume levels. Identify each series as either fixed, variable, mixed, or step-wise. Hint. It can help to graph each cost series. Volume Series A Series B Series C Series D (Units) 0 400 800 1,200 1,600 2,000 2,400 Series A $ 2,540 3,140 3,740 4,340 4,940 5,540 6,140 Series B $ 1,040 1,040 2,080 2,080 3,120 3,120 4,160 Series C $ 5,040 5,040 5,040 5,040 5,040 5,040 5,040 Series D $0 3,640 7,280 10,920 14,560 18, 200 21,840

4) Determine the missing amounts. Contribution Contribution Unit Selling Price Unit Variable Costs Margin Per Unit Margin Ratio 1. $300 $180 A в 2. $600 C $210 D 3. E F $300 30%

E6-2A High-Low Method Apply the high-low method of cost analysis to the three cost data groups in E6-1A. What cost behavior are apparent? Express each as a cost formula. Volume (applicable to each group) Group A Costs Group B Costs Group C Costs 2,000 $2,600 $1,000 $2,400 12,000 12,600 6,000 2,400 16,000 16,600 8,000 2,400 20,000 20,600 10,000 2,400

Answer 2

Textbook Question

Chapter 21, Problem 1QS

Cost behavior identification
C1
Listed here are four series of separate costs measured at various volume levels. Examine each series and identify whether it is best described as a fixed, variable, step-wise, or curvilinear cost. (It can help to graph each cost series.)

Volume (Units)	Series 1	Series 2	Series 3	Series 4
0	1 0	1150	$ 900	$100
100	... 800 1.500	150 150	800 8OO	105
200	120
300	. 2,400	150	1,600	145
100..	3,200	150	1.500	190
500	4.000	150	2.400	250
600	4.800	150	2.400	320

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

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Answer 3

Textbook Question

Chapter 21, Problem 1QS

Cost behavior identification
C1
Listed here are four series of separate costs measured at various volume levels. Examine each series and identify whether it is best described as a fixed, variable, step-wise, or curvilinear cost. (It can help to graph each cost series.)

Volume (Units)	Series 1	Series 2	Series 3	Series 4
0	1 0	1150	$ 900	$100
100	... 800 1.500	150 150	800 8OO	105
200	120
300	. 2,400	150	1,600	145
100..	3,200	150	1.500	190
500	4.000	150	2.400	250
600	4.800	150	2.400	320

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

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Answer 4

Textbook Question

Chapter 21, Problem 1QS

Cost behavior identification
C1
Listed here are four series of separate costs measured at various volume levels. Examine each series and identify whether it is best described as a fixed, variable, step-wise, or curvilinear cost. (It can help to graph each cost series.)

Volume (Units)	Series 1	Series 2	Series 3	Series 4
0	1 0	1150	$ 900	$100
100	... 800 1.500	150 150	800 8OO	105
200	120
300	. 2,400	150	1,600	145
100..	3,200	150	1.500	190
500	4.000	150	2.400	250
600	4.800	150	2.400	320

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

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Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

Answer 8

Expert Solution & Answer

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

Variable Cost:

The cost which changes with the change in level of activity is called a variable cost.

Fixed Cost:

Fixed Cost is rigid in nature and does not change according to the change in the level of activity.

Step-Wise Costs:

Step-wise costs do not changes within a range of level of activity, and changes in lump sum when the level of activity goes beyond the range.

Curvilinear cost:

The costs which increases or decreases in an inconsistent or irregular manner are called curvilinear cost.

Identifying each series as fixed, variable, step-wise, or curvilinear cost

Answer 12

Answer to Problem 1QS

Solution:

Series	Type of Cost
Series 1	Variable Cost
Series 2	Fixed Cost
Series 3	Step-wise Cost
Series 4	Curvilinear Cost

Answer 13

Explanation of Solution

Series 1 is a variable cost because it increases in consistent manner according to the increase in volume.
Series 2 is fixed cost because the $450 is fixed for the all level of sales volume.
Series 3 is Step-wise cost as it increases in lump sum and does not increase within the range.
Series 4 is curvilinear cost because it increases in a very irregular manner.

Answer 14

Conclusion

Hence is concluded that according to the explanation provided, the series 1 is variable cost, series 2 is fixed cost, series 3 is step-wise cost and series 4 is curvilinear cost.

Answer 15

Ch. 21 - Cost behavior identification C1 Listed here are...Ch. 21 - QS 21-2 Cost behavior identification c1 ...Ch. 21 - QS 21-3 Cost behavior estimation—high-low method...Ch. 21 - Prob. 4QS Ch. 21 - Prob. 5QS Ch. 21 - Prob. 6QS Ch. 21 - Prob. 7QS Ch. 21 - Prob. 8QS Ch. 21 - Prob. 9QS Ch. 21 - Prob. 10QS

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Answer to Problem 1QS

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