rey writer

In respect of Abel furniture manufacturing facility, identify costs that would be classified as a) variable and b) fixed from the list below. Remember classification of costs as either variable or fixed is based on the definition or identification of a COST OBJECT.

Required:

1. Identify the Cost Object

2. Classify the costs listed below as either Variable or Fixed and give reasons for your choice.

1. Wood

2. Cloth or leather

3. Plastics

4. Metal

5. Glue, abrasives, grease,

6. Carpenter's wages

7. Janitor's wages

8. Cafeteria workers

9. Clerical staff wages

9. Utilities, including water, electricity, heating, cooling.

10. Property taxes

11. Depreciation of factory building

12. Depreciation of factory machinery

13. Depreciation of filing and other office furniture in the factory

14. Snow removal

15. Maintenance of parking lot

16. Security guard's wages

17. Landscaping for the factory property

18. Land on which the factory is built.

19. Maintenance of fish pond

20. Factory supervisor's salary.