The primary difference between cost classification for a manufacturing firm versus a merchandising firm is

Multiple Choice

All costs for a merchandising firm are downstream costs for a manufacturing firm.

All downstream costs for a merchandising firm are midstream costs for a manufacturing firm.

All midstream costs for a merchandising firm are upstream cost for a manufacturing firm.

All costs for a manufacturing firm are midstream costs for a merchandising firm.

The Bake Shop $($TBS$)$ buys and sells cakes. To preserve freshness TBS donates cakes that have not been sold within $5$ days to charitable organizations. To avoid waste TBS usually orders fewer cakes than it can sell. Sold out signs are frequently seen in the store. Even so$,$ the cakes come in several flavors and occasionally some of the flavors do not sell out before the $5$ day shelf life expires. Cakes cost $$10$ each to purchase and are sold for $$16$ each. During the most recent month TBS had customer orders for $22$ cakes that could not be filled due to a lack of inventory. There were only $5$ cakes that had to be donated to charity during the month. Based on this information the

Multiple Choice

cost of waste amounted to $$80.$

cost of waste amounted to $$220.$

opportunity cost amounted to $$110.$

opportunity cost amounted to $$132.$