Required: For each cost item, indicate whether it would be variable or fixed with respect to the number of units produced and sold; and then whether it would be a selling cost, an administrative cost, or a manufacturing cost. If it is a manufacturing cost, indicate whether it is a direct cost or an indirect cost with respect to units of product. Manufacturing (Product) Cost Variable or Administrative Cost Item Selling Cost Direct Indirect Fixed Cost Ex. Direct labor Variable Yes Fixed Executive salaries Yes Factory rent Fixed Yes 1. Property taxes, factory. Boxes used for packaging detergent produced by the company. 2. 3. Salespersons' commissions. 4. Supervisor's salary, factory. 5. Depreciation, executive autos. 6. Wages of workers assembling computers. 7. Insurance, finished goods warehouses. 8. Lubricants for production equipment. 9. Advertising costs. 10. Microchips used in producing calculators. 11. Shipping costs on merchandise sold. 12. Magazine subscriptions, factory lunchroom. 13. Thread in a garment factory. 14. Executive life insurance. 15. Ink used in textbook production. 16. Fringe benefits, materials handling workers. 17. Yarn used in sweater production. 18. Wages of receptionist, executive offices.

Q: Direct materials would be considered a?   Group of answer choices Step Cost Mixed Cost Fixed Cost…

A: Hi Student Since there are multiple questions,we will answer only first question. If you want…

Q: ncome from operations is one of the most important items reported by a company. Depending on the…

A: Absorption costing: Absorption costing is used to compute cost of a product. Under this method cost…

Q: Product costs are expensed Group of answer choices When the product unit cost is calculated. When…

A: Solution: Product costs is capitalized in inventory when same is produced. However when products are…

Q: What is the amount of the income from operations that would be reported on the variable costing…

A: Variable costing income statement: It refers to an income statement that is prepared by a company…

Q: In a manufacturing company using absorption costing, the fixed costs associated with idle production…

A: The question is related to the Absorption costing.

Q: Classifying costs Classify each cost by placing an X in the appropriate columns. The first cost is…

A: Product costs: Product costs are the costs which are incurred in the production of the goods. These…

Q: Identify the following as fixed costs (F), variable costs (V), or mixed costs(M). direct labor…

A: A cost that changes, in total dollar amount, with the change in the level of activity is called…

Q: Which of the following does NOT form a part of Total cost? A. Production overheads B. Factory…

A: Total cost involves all the cost incurred in order to reach a particular level of output.

Q: a. to calculate the total costs for each product if all overhead costs are absorbed on a machine…

A: Traditional costing system is an cost accounting method used to determine the cost of manufactured…

Q: Cost classifications For each of the following costs, check the columns that most likely apply (both…

A: Fixed cost: A fixed cost is a cost incurred by a company that remains fixed irrespective of the…

Q: Which of the following statements is true? Multiple Cholce Varlable costing treats direct materials…

A: The period costs are the costs which are expensed in the period they are incurred. Example selling…

Q: Which type of manufacturing cost (direct materials, direct labor, variable factory overhead, fixed…

A: Cost of goods manufactured as per Absorption costing =  Direct material + Direct labor + Variable…

Q: What factor related to manufacturing costs causes the difference between operating income computed…

A: Only item which causes the difference between operating income computed using absorption costing and…

Q: Which of the following costs would be included in the cost of a manufactured product according to…

A: Under variable costing method, only variable cost considered and included in production cost and…

Q: Match each of the following descriptions with the appropriate costing concept. Generally…

A: 1. Generally provides the most useful report for controlling costs= Variable costing only   Reason:…

Q: he following statements is true? bsorption costing treats fixed overhead as an expense in the period…

A: The income statement is prepared using various methods as absorption costing and variable costing.…

Q: If fixed manufacturing overhead costs are released from inventory under absorption costing, what…

A: Absorption Costing: Absorption costing is a method for calculating the full cost or total cost of a…

Q: Classify each of the following items of factory overhead as either a fixed or a variable cost.…

A: The question is based on the concept of Cost Accounting. Classification of fixed and variable costs:…

Q: Which of the following is true about absorption costing? No fixed factory overhead is charged to…

A: Solution: The true statement about absorption costing is that "over-applied factory overhead is…

Q: Determine the following is best described as a fixed, variable, or mixed cost with respectto product…

A: Definition: Variable cost: The cost which changes with the change in the level of activity is called…

Q: There are three categories of costs: fixed costs, variable costs and semi-variable costs. Which of…

A: Semi-variable cost includes both fixed and variable costs. In this, most of the part is fixed but…

Q: In your own words, explain the difference between absorption costing and variable costing methods.…

A: Absorption costing: Its also called as Full costing.

Q: If fixed manufacturing overhead costs are released from inventory under absorption costing, whatdoes…

A: Absorption Costing: Absorption costing is a method for calculating the full cost or total cost of a…

Q: Net income computed using absorption costing can be reconciled to the net income computed using…

A: The difference of income between absorption costing and variable costing only occurs only due to the…

Q: a. Compute the unit product cost under both absorption and variable costina b. Prepare an income…

A: Note : Since you have posted a question with multiple sub-parts, we will solve first three sub-parts…

Q: For each cost item, indicate whether it would be variable or fixed with respect to the number of…

A: Variable cost represents the cost that is directly related to the output whereas the fixed costs…

Q: Net earnings determined using full absorption costing can be reconciled to net earnings determined…

A: In absorption costing, the cost of goods sold is determined after considering all the overheads,…

Q: Which ONE of the following statements concerning costing is correct? a) The procedures used to…

A: The system of process costing is suitable for industries involving continuous production of the same…

Q: Calculation of variable and fixed cost per unit S Amount Units Rate Materials: per unit Direct…

A: Solution: Absorption costing involves all of the direct cost related with manufacture of a product.…

Q: Required: 1. Assume that the company uses absorption costing. a. Calculate the unit product cost. b.…

A: The company uses absorption costing as follows: Unit product cost as follows: Income statement for…

Q: Indicate with a check mark whether each of the following would be a product cost or a period cost…

A: Product cost is any cost incurred for the production of the products , thus all costs up to the time…

Q: Direct labour cost is an element of_________ a. All of the given options b. Prime cost c. Conversion…

A: A direct labor cost is referred to as the wages that are incurred directly to produce the goods or…

Q: Explain the difference between variable costing and absorption costing income statements. Provide a…

A: Difference Between Variable Costing and absorption costing income statements. Under Variable…

Q: The product costing method that includes fixed manufacturing cost in inventories costs is called…

A: Variable cost is the cost which vary with the level of output where as fixed cost remain fixed what…

Q: Required: Compute the unit product cost under absorption costing. Compute the unit product cost…

A: Variable costing means that inventory is valued at variable manufacturing cost and fixed cost is…

Q: What is  the difference between variable costing and absorption costing income statements? a.…

A: Cost accounting is widely used by cost accountants to determine the cost of the product produced in…

Q: Which of the following would be included in the cost of a product manufactured according to variable…

A: direct materials: production cost sales commissions: selling cost interest expense: other cost…

Q: Under variable costing, a unit of product includes which costs? A. direct material, direct labor,…

A: Variable costing: In the process of variable costing the fixed manufacturing overhead are not to be…

Q: Which of the following statement is false?         Multiple Choice   Fixed manufacturing overhead…

A: Under the absorption costing method, the fixed manufacturing overhead is allocated to units produced…

Q: Classify each cost element as either fixed, variable or mixed Calculate: the variable production…

A: Using high low method, variable cost per unit is calculated as follows: Variable cost per unit=…

Q: he number of units produced, or the number of units sold describes:     a. Cost behavior b. Activity…

A: Ans. Activities in business or manufacturing concerns are described as the number of units produced…

Q: All indirect factory costs are recorded under the costing head? a. P

A: Indirect fcatory cost are all costs incurred in manufacturing of the…

Market Efficiency

Market efficiency refers to the market's ability to provide investors with all available information about investment options for buying and selling securities. Market efficiency reflects the true value of securities without undervaluing or overvaluing them. When the quality and quantity of information increase, the market becomes more efficient, allowing it to reduce arbitrage and obtain higher market returns from investment. In a well-functioning market, everyone receives all information completely and immediately at no cost. It opens up a plethora of opportunities for investors to access various investment options.