Chapter 3, Problem 9E

Classify the following costs of activity inputs as variable, fixed, or mixed. Identify the activity and the associated activity driver that allow you to define the cost behavior. For example, assume that the resource input is “cloth in a shirt.” The activity would be “sewing shirts,” the cost behavior “variable,” and the activity driver “units produced.” Prepare your answers in the following format:

1. a. Flu vaccine
2. b. Salaries, equipment, and materials used for moving materials in a factory
3. c. Forms used to file insurance claims
4. d. Salaries, forms, and postage associated with purchasing
5. e. Printing and postage for advertising circulars
6. f. Equipment, labor, and parts used to repair and maintain production equipment
7. g. Power to operate sewing machines in a clothing factory
8. h. Wooden cabinets enclosing audio speakers
9. i. Advertising
10. j. Sales commissions
11. k. Fuel for a delivery van
12. l. Depreciation on a warehouse
13. m. Depreciation on a forklift used to move partially completed goods
14. n. X-ray film used in the radiology department of a hospital
15. o. Rental car provided for a client