Table 2 Cost Classification Chart Fixed Variable Direct Indirect Product DM DL MOH Period Oven Cash Register Baking pans Business License Health Inspections Rent Utilities Mobile Phone Flour Sugar Baking Soda Butter Raisons Eggs Rum Others Accountant Brianna Alexis Keisha Aunt Ellen TABLE 1: COST INFORMATION Standard per Cake Item and Ingredients Conventional oven na Cost $6,000 (depreciated over 5 years on a SL basis No salvage value) so (provided by the landlord) SO (paid for by dad) S24 per 8 pounds bag. S2 per dozen SIS per 25 pounds bag S per 14 pounds box S6.50 per 4 pounds S8 per 2 pounds Refrigerator Baking pans, licenses Baking flour Eggs Sugar Baking soda Butter Raisins Others (currants, diced date, nutmeg, molasses) Cash Register na 1 pound 4 eggs 1 pound 1 pound 5 pound $30 for all 4 boxes per month S12 per month (rental for 2 years) S12 per bottle S50 per month 14 tr of bottle Rum (alcohol) Utilities (includes gas, electric and water) Mobile phone (business) Salary-Keisha Salary-nieces S50 per month S500 per month $8 per hour 1 person 1.5 hours per cake Salary-aunt Accountant Estimated MOH $100 per month S100 per month $4.00 per cake Cost Classification (Assignment #1) Her first action plan was to list all the key products or items that she would need to start the business. Keisha's list included a conventional oven, a cash register, baking pans, business licenses, health inspections, flour, sugar, baking soda, raisins, butter, eggs, and rum. She also planned on hiring her accounting professor on a part time basis to perform bookkeeping services and her nieces Brianna and Alexis, to help her in the bakery. Aunt Sue Ellen would supervise the girls so that Keisha could focus on developing her business. K&J's cost drivers are provided in Table 1. Required: Keisha needs your help in classifying the various costs. In order to manage these costs, she wants them identified using the information below. She asked that you use Table 2 for your answers. a. Behavior (fixed or variable) b. Traceability (direct or indirect) C. Financial reporting (product or period) d. If product cost, identify which items are direct materials, direct labor, or manufacturing overhead