Author Question: The list of representative cost drivers in the right column below are randomized with respect to the ... (Read 38 times)

james9437 · **on:** Mar 6, 2021

Question 1

Describe both variable and fixed costs. Explain why the distinction between variable and fixed costs is important in cost accounting.

Question 2

The list of representative cost drivers in the right column below are randomized with respect to the list of functions in the left column. That is, they do not match.

	Function		Representative Cost Driver
1.	Purchasing	A.	Number of employees
2.	Billing	B.	Number of shipments
3.	Shipping	C.	Number of customers
4.	Computer Support	D.	Number of invoices
5.	Personnel	E.	Number of desktop computers
6.	Customer Service	F.	Number of purchase orders

Required:
Match each business function with its representative cost driver.

	Function	Insert letter of appropriate driver (A through F)
1.	Purchasing
2.	Billing
3.	Shipping
4.	Computer Support
5.	Personnel
6.	Customer Service

stanleka1 · **Reply #1 on:** Mar 6, 2021

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