Question: Cost classification by activity type Classify the following costs as unit-related, batch-related, product-sustaining, or business-sustaining activity costs. (a) Direct materials (b) Setup labor wages (c)

Cost classification by activity type Classify the following costs as unit-related, batch-related, product-sustaining, or business-sustaining activity costs.

(a) Direct materials

(b) Setup labor wages

(c) Salaries of plant engineers responsible for executing engineering change orders

(d) Building depreciation

(e) Direct labor wages

(f) Purchase order clerk wages

(g) Product design engineer salaries

(h) Rent for plant building

(i) Quality inspection Cost Management Concepts and Cost Behavior 103

(j) Moving materials from one machine to the next

(k) Accounting

(l) Sales support for individual product lines

(LO 1, 3)

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