Question: 3. Various costs, as given below, are associated with running a bakery that supplies baked goods to local coffee shops: Account manager's salary Rent on

 3. Various costs, as given below, are associated with running a

3. Various costs, as given below, are associated with running a bakery that supplies baked goods to local coffee shops: Account manager's salary Rent on building Flour used in making baked goods Bakery manager's salary Wages of bakers paid on a piecework basis Depreciation of ovens Insurance on the building Required: Classify each cost as being either variable or fixed with respect to the quantity of baked goods supplied. Also, indicated whether each cost would typically be treated as a direct cost or indirect cost with respect to the quantity of baked goods supplied. Prepare your answer sheet as shown below: Cost Behaviour To Quantity of Baked Goods Produced Direct Indirect Cost Item Variable Fixed

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!