Classify each of the following cost items as mostly fixed or variable: a. Raw materials d. Administrative salaries g. Direct labor j. Rent b. Depreciation e. Insurance (building & equipment) h. Supplies k. Payroll Taxes c. Clerical salaries f. Property taxes i. Sales commissions l. Interest on borrowed money

Classify each of the following cost items as mostly fixed or variable: a. Raw materials d. Administrative salaries g. Direct labor j. Rent b. Depreciation e. Insurance (building & equipment) h. Supplies k. Payroll Taxes c. Clerical salaries f. Property taxes i. Sales commissions l. Interest on borrowed money

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter13: Factor Markets: With Emphasis On The Labor Market

Section13.1: Factor Market

Problem 2ST

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1) Classify each of the following cost items as mostly fixed or variable:a. Raw materialsd. Administrative salaries g. Direct laborj. Rentb. Depreciatione. Insurance (building & equipment) h. Suppliesk. Payroll Taxesc. Clerical salariesf. Property taxesi. Sales commissionsl. Interest on borrowed money
Classify each of the following cost items as mostly fixed or variable1. Raw materials2. Direct Labor3. Depreciation4. Supplies5. Utilities6. Property taxes7. Interest on borrowed money8. Administrative salaries9. Payroll taxes10. Insurance (building and equipment)11. Clerical salaries12. Sales Commissions13. Rent
Which of the following is a typical example of a fixed cost of production in a business firm? A. Property taxesB. Raw MaterialsC. Wages paid to hourly employeesD. Sales taxes due
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Question 2 Which of the following is a variable cost? O Advertisement cost O Health insurance Material cost Equipment cost