Christine Mbai owns and operates an extremely popular Montessori school in suburban Chicago. The school has its
Question:
Christine Mbai owns and operates an extremely popular Montessori school in suburban Chicago. The school has its own private pickup and drop-off facilities. The following lists 12 costs Christine incurs in running her school:
Cost # Description of Cost
1 Rent on school building
2Lunches and lunch supplies (lunches are catered-in)
3Teacher salaries
4 Utilities and water
5 Bus driver salaries
6 Art supplies
7 Janitorial services
8 Brochures and pamphlets (including monthly newsletter)
9 Receptionist salary
10 Field trip to the Museum of Science and Industry
11Repainting the hallway
12 Fuel for buses
Required:
For each cost, classify and discuss whether you believe it will be fixed (F), variable (V), mixed (M), or jump in steps (S) with respect to the number of enrolled students in the coming term (semester). In addition, discuss any arguments that support a classification other than the one you have assigned.
Step by Step Answer:
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin