Answer Happy

Bonita Company manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for two levels of production. Costs Incurred 5,000 10,000 Production in Units Cost/Unit Cost/Unit Total Cost Total Cost Production Costs $1.60 $8,000 $ 16,000 $1.60 Direct materials 1.90 9,500 19,000 1.90 Direct labor 0.33 2,000 0.40 3.300 Utilities 0.80 4,000 4,000 0.40 Rent 800 0.16 1,400 0.14 Maintenance 1.000 0.10 0.20 1,000 Supervisory salaries (b) Classify each cost above as either variable, fixed, or mixed. Production Costs Direct materials
(b) Classify each cost above as either variable, fixed, or mixed. Production Costs Direct materials Direct labor Utilities Rent > Maintenance < Supervisory salaries