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Question.3273 - Cost Classification Use a selected company or your current work environment to identify at least one cost or expense that would fit under each of the following categories: Variable Fixed Mixed Step Would your company be more likely to benefit from using a manufacturing cost hierarchy or a customer cost hierarchy for determining cost drivers? Explain your answer and identify one cost for each of the four cost hierarchy categories

Answer Below:

Cost xxxxxxxxxxxxxx - xxxxx Hut xxxxxxxxxx Variable xxxxx It xxxxxxxxx with xxxxxxxx in xxxxxxxx For xxxxxxxx if xxx number xx Pizzas xxxxxx is xxxx to xx the xxxxxxxx cost xxxxxx the xxxx of xxxxxx is x variable xxxx Fixed xxxxx It xxxx not xxxxxx is xxxxxxxx to xxxxxxxx or xxxxxxxx in xxxxxxxx Property xxx or xxxxxxxxx cost xxx be xx example xx fixed xxxx because xx does xxx change xxxx number xx Pizzas xxxxxx Mixed xxxxx It xx a xxx of xxxx fixed xxx variable xxxxx For xxxxxxxx the xxxx of xxxxxxxxxxx can xx a xxxxx cost xxxxx Electricity xxxxxxxx on x daily xxxxx is x fixed xxxx however xxxx more xxxxxx are xxxxxx there xx increased xxxxxxxxxxx cost xxxxx is x variable xxxx Step xxxxx It xx cost xxxx stays xxxxxxxx for xxxxxxx range xx activity xxx changes xxxx activity xxxxxxxxx certain xxxxx For xxxxxxxx the xxxxxxxx wages xxx constant xxxxx a xxxxxxx point xxx an xxxxxx in xxxxxx to xx served xxx require xxxx employees xxx would xxxxxxxx the xxxx The xxxxxxxx cost xxxxxxxxx classification xxx help xx determining xxxx of xxxxxxxxxx order xx customer xxx hence xx a xxxxxx choice xxx determining xxxx drivers xxx Pizza xxx

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