Classify each of the following costs as Product (direct/indirect) or Period and Variable, Fixed or mixed

What types of costs are customarily included in the cost of manufactured products under (a) the absorption costing concept and (b) the variable costing concept? Which of the following costs would be included in the cost of a manufactured product according to the variable costing concept: (a) rent on factory building, (b) direct materials, (c) property taxes on factory building, (d) electricity purchased to operate factory equipment, (e) salary of factory supervisor, (f) depreciation on factory building, (g) direct labor? Marley Company has the following information for March: Sales $912,000 Variable cost of goods sold 474,000 Fixed manufacturing costs 82,000 Variable selling and administrative expenses 238,100 Fixed selling and administrative expenses 54,700 Determine (a) the manufacturing margin, (b) the contribution margin, and (c) operating income for Marley Company for the month of March.

Domestic

For each of the following costs, identify whether it is a Fixed, Variable or Both: Cost Wages of assembly-line workers Depreciation-office equipment Glue and fasteners Delivery costs Raw materials handling costs Salary of marketing manager Production run setup costs Plant utilities Electricity cost of manufacturing plant Research and development expenses Type

Indicate whether each cost is: A. Fixed or Variable b. Selling, General/Administrative, or Manufacturing

Number the following in the order of the flow of manufacturing costs for a company: a. Closing under/overapplied factory overhead to cost of goods sold b. Materials purchased c. Factory labor used and factory overhead incurred in production d. Completed jobs moved to finished goods e. Factory overhead applied to jobs according to the predetermined overhead rate f. Materials requisitioned to jobs g. Selling of finished product h. Preparation of financial statements to determine gross profit

1. Property taxes on a manufacturing plant is an element of: a. Conversion cost b. Prime cost   c. Period cost d. Fixed cost   2. Factory supplies for manufacturing plant are generally a. Prime cost b. Fixed cost c. Period cost d. Variable cost   3. Wages paid to timekeeper in a factory is a a. Prime cost b. Direct Material c. Conversion cost d. Direct labor

Which of the following costs is best classified as a fixed cost with respect to volume of activity? (See your Chapter 20 notes, page 5)  Direct labor Electricity used to heat, light, and cool a factory Cleaning supplies used in an automobile assembly plant Straight-line depreciation expense of a machine used in a factory Total cost of salaries paid to quality inspectors in a manufacturing plant Tires used in an automobile manufacturing plant

TCM Company uses activity-based costing to determine products costs for external financial reports. The company has provided the following data concerning its activity-based costing system: Activity cost pools (and activity measures) Depreciation (allocated based on machine-hours) Batch setup (allocated based on # of set ups) General Factory (allocated based on direct labor hours) Estimated Overhead costs $67,500 273,700 204,000 Expected Activity (Allocation base) Product y Product x Activity Cost pool Depreciation Batch setup General factory The activity rate for the general factory activity cost pool is? Total 5000 m hours 4000 1000 7000 set ups 3000 4000 8000 dl hours 1000 7000

All of the following are variable costs except for which of the following? Group of answer choices Production supervisor’s salary Sales commission based on number of sales units Direct material costs Direct labor costs