Classification at costs merchandising sector home

Reference no: EM13585495

Classification at costs, merchandising sector Home Entertainment Center (HEC) operates a large store in San Francisco. The store has both a video section and a music (compact disks and tapes) section. HEC reports revenues for the video section separately from the music section. Classify each of the following cost items as: a. Direct or indirect (D or I) costs with respect to the total number of videos sold. b. Variable or fixed (V or F) costs with respect to how the total costs of the video section change as the total number of videos sold changes. (If in doubt, select on the basis of whether the total costs will change substantially if there is a large change in the total number of videos sold.) You will have two answers (D or I; V or F) for each of the following items: Cost item D or I V or F

A. Annual retainer paid to a video distributor

B. Electricity costs of HEC store (single bill covers entire store)

C. Costs of videos purchased for sale to customers

D. Subscription to Video Trends magazine

E. Leasing of computer software used for financial budgeting at HEC store

F. Cost of popcorn provided free to all customers of HEC

G. Earthquake insurance policy for HEC store

H. Freight-in costs of videos purchased by HEC

Reference no: EM13585495

Questions Cloud

On the first day of the current month rent for four months : for each of the following unrelated situations prepare the necessary adjusting entry in general journal formjuly 31sta.

Prepare an abbreviated contribution income statement to : in the year 2012 wiggins processing company had the following contribution income statement.salesnbspnbsp

A cylindrial tank being drained through a duct whose : a cylindrial tank being drained through a duct whose cross-sectional area is 3x10-4 m2. the velocity of the water at

Evan company reports net income of 231000 each year and : evan company reports net income of 231000 each year and declares an annual cash dividend of 140000. the company holds

Classification at costs merchandising sector home : classification at costs merchandising sector home entertainment center hec operates a large store in san francisco. the

Assuming that the direct labor charged to the jobs still in : jensen fences uses job order costing. manufacturing overhead is charged to individual jobs through the use of a

A firm raises captial by selling 20000 worth of debt with : a firm raises captial by selling 20000 worth of debt with flotation costs equal to 2 of its par value. if the debt

A thin uniformly chargde rod has a length l10cm and a : a thin uniformly chargde rod has a length l10cm and a linear charge density lambda 5x106 ecm. e is the change of an

Draw a graph of the total monthly costs of the three plans : required 1. draw a graph of the total monthly costs of the three plans for different levels of monthly long-distance

User Account

All Pages