Costs Assignment | Homework For You
January 23rd, 2020
Specify whether each of the following costs incurred are product costs (as opposed to period costs); variable costs (as opposed to fixed costs); and relevant to future plans (as opposed to irrelevant):
Indicate with a check mark in a box if yes (or leave a blank space if not):
| Product Cost | Variable Cost | Relevant Cost | Briefly Explain…. | |
|---|---|---|---|---|
| Unit-of-production depreciation on manufacturing equipment purchased three years ago | ||||
| Straight-line depreciation expense on computer equipment purchased two years ago used by sales-persons. | ||||
| Sales commissions that will be paid to sales-persons only if a special order is accepted this month. | ||||
| One-time, initial cost of new customer relationship management software that the marketing department will need to pursue a new project | ||||
| Salary of a supervisor that will be paid whether or not a special order is accepted this month. |
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