Question

1. Bowie manufacturing wants to estimate costs for each product they produce at its Marfa plant....

1. 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:

a. Classify each of the following costs as either direct or indirect for each product.
b. Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product

b) Depreciation on the assembly line equipment (Straight-line)

Direct and Fixed

Direct and Variable

Indirect and Fixed

Indirect and Variable

2. 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:

a. Classify each of the following costs as either direct or indirect for each product.
b. Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product.

c) Component parts for the product

Direct and Fixed

Direct and Variable

Indirect and Fixed

Indirect and Variable

3. 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:

a. Classify each of the following costs as either direct or indirect for each product.
b. Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product

d) Wages of security personnel for the Factory – they are hourly workers.

Direct and Fixed

Direct and Variable

Indirect and Fixed

Indirect and Variable

4. 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:

a. Classify each of the following costs as either direct or indirect for each product.
b. Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product.

a) Assembly line labor wages

Direct and Fixed

Direct and Variable

Indirect and Fixed

Indirect and Variable

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