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Bowie manufacturing wants to estimate costs for each product they produce at its Marfa plant. The Marfa plant produces three products at this plant, and runs two flexible assembly lines. Each assembly line can produce all three products.
Required:
Question a. Classify each of the following costs as either direct or indirect for each product.
Question b. Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product
Question c. Depreciation on the assembly line equipment (Straight-line)
Group of answer choices
Option 1: Direct and Fixed
Option 2: Direct and Variable
Option 3: Indirect and Fixed
Option 4: Indirect and Variable
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