Question: Identifying Variable Costs, Committed Fixed Costs, and Discretionary Fixed Costs Required: Classify each of the following costs for a jeans manufacturing company as a variable
Identifying Variable Costs, Committed Fixed Costs, and Discretionary Fixed Costs Required: Classify each of the following costs for a jeans manufacturing company as a variable cost, committed fixed cost, or discretionary fixed cost a. The cost of buttons b. The cost to lease warehouse space for completed jeans the lease contract runs for 2 years at $5,000 per year. C. The salary of a summer intern d. The cost of landscaping and mowing the grass-the contract with a local mowing company runs from month to month e. Advertising in a national magazine for teenage girls f. Electricity to run the sewing machines, 9. Oil and spare needies for the sewing machines h. Quality training for employees--typically given for four hours at a time, every six months Food and beverages for the company Fourth of July picnic. J. Natural gas to heat the factory during the winter
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