1. Classify each of the following manufacturing costs as direct or indirect for automobiles
Insurance on manufacturing equipment
Cost of steel plates used in making an automobile body
Wages of assembly workers
Salaries of plant security personnel
Cost of tires
Overtime premiums paid to assembly workers
Depreciation on the factory building
Cost of electric power to operate machines
Production workers holiday pay and benefits
Wages of material-handling workers
Quality inspection costs
2. Classify each of the following as a variable or fixed cost with respect to a unit of production
Salaries of production supervisors
Steel used in automobile production
Wood used in furniture production
Charges of janitorial services
Commissions paid to sales personnel
Advertising expenses
Salaries of billing clerks
Gasoline used to deliver products
Lubricants for machine
Maintenance for production equipment, based on volume produced
Maintenance for production equipment, performed every month