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Identifying cost behavior
At the various activity levels shown, Johnston Company incurred the following costs.
Units Sold
20
40
60
80
100
a.
Depreciation cost per unit
240.00
120.00
80.00
60.00
48.00
b.
Total rent cost
3,200.00
c.
Total cost of shopping bags
2.00
4.00
6.00
8.00
10.00
d.
Cost per unit of merchandise sold
90.00
e.
Rental cost per unit of merchandise sold
36.00
18.00
12.00
9.00
7.20
f.
Total phone expense
100.00
140.00
160.00
g.
Cost per unit of supplies
1.00
h.
Total insurance cost
480.00
i.
Total salary cost
$1,200.00
$1,600.00
$2,000.00
$2,400.00
$2,800.00
j.
Total cost of goods sold
1,800.00
3,600.00
5,400.00
7,200.00
9,000.00
Required
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