Exercise 1-17 Classifying Variable and Fixed Costs and Product and Period Costs [LO1-3, LO1-4) Classify each cost as being either variable or fixed with respect to the number of units produced and sold. Also classify each cost as either a period or a product cost. Preparing Financial Statements Predicting Cost Behavior Cost Item 1. Hamburger buns in a Wendy's restaurant 2. Advertising by a dental office. 3. Apples processed and canned by Del Monte 4. Shipping canned apples from a Del Monte plant to customers 5. Insurance on a Bausch & Lomb factory producing contact lenses 6. Insurance on IBM's corporate headquarters Salary of a supervisor oversing production of printers at Hewlett- Packard 8. Commissions paid to automobile salespersons 9. Depreciation of factory lunchroom facilities at a General Electric plant 10. Steering wheels installed in BMWs. Assume that the company produces and sells 99,000 units during the year at a selling price of $6.98 per unit. Prepare a contribution format income statement for the year. Harris Company Contribution Format Income Statement