Problem:
For each of the following costs, identify whether the item is a variable or fixed cost, direct or indirect cost, and controllable or uncontrollable cost. (For example: Plant Utilities would be a variable, indirect, and controllable cost.) Not all items will fit into each category. Label items that do not fit a categories as not applicable.
- Raw materials
- Staples used to secure packed boxes of the product
- Plant janitor's wages
- Order processing clerk's wages
- Advertising expenses
- Production worker's wages
- Production supervisor's salaries
- Sales force commissions
- Maintenance supplies used
- President's salary
- Electricity cost for the office building
- Real estate taxes for the plant
- Production run setup costs
- Depreciation of plant equipment
- Outbound shipping costs