Reference no: EM132685595
Problem - Classify costs - Following is a list of various costs incurred in producing toy robotic helicopters. With respect to the production and sale of these toy helicopters, classify each cost as either variable, fixed, or mixed.
1. Janitorial costs, $5,000 per month
2. Salary of plant manager
3. Oil used in manufacturing equipment
4. Property taxes, $210,000 per year on factory building and equipment
5. Hourly wages of inspectors
6. Plastic
7. Packaging
8. Metal
9. Electricity costs, $0.10 per kilowatt-hour
10. Rent on warehouse, $12,000 per month plus $20 per square foot of storage used
11. Property insurance premiums, $2,000 per month plus $0.008 for each dollar of property over $1,000,000
12. Straight-line depreciation on the production equipment
13. Hourly wages of machine operators
14. Pension cost, $0.75 per employee hour on the job
15. Computer chip (purchased from a vendor)
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