1. Which of the following costs would most likely be variable with respect to thenumber of T-shirts sold at a Fashion shop?A. The cost of lighting the store.B. The wages of the store manager.C. The rent of the store.D. The sales commission of the salespeople. 2. Which of the following costs would most likely be a discretionary fixed cost?A. The rent of the store.B. The depreciation of the equipment.C. Real estate tax.D. Advertising.

We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Answered: 1. Which of the following costs would…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 6MC: Which of the following represents the components of the income statement for a merchandising...

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Similar questions

Which financial data would be a good independent variable for utilities expense? Multiple Choice Sales. Wage rates. Total expenses. Hours worked. Number of hours the store is open.
Which of the following businesses would most likely not report cost of goods sold on their income statement? Select one: a. A law firm. b. An automobile dealership. C. A pizza restaurant. d. A computer chip manufacturer.
Which of the following is a common fixed cost to the salesdepartments in a department store?a. Salaries of store security personnel.b. Salaries of sales department managers.c. Cost of goods sold.d. Depreciation on fixtures used exclusively in a specificsales department.
Which of the following represents the components of the income statement for a merchandising business? Select one: a. Service Revenue – Operating Expenses = gross profit b. Sales Revenue – Cost of Goods Sold = gross profit c. Service Revenue – Cost of Goods Purchased = gross profit d. Sales Revenue – Cost of Goods Manufactured = gross profit
The dollar amount paid by a retailer to acquire a product from a wholesaler is known as the retailer's expenses cost MSRP markup
What is the revenue account for a merchandising business called? Group of answer choices gross profit fees earned net sales sales or sales revenue.
Which of the following represents the components of the income statement for a merchandising business? a.Service Revenue – Operating Expenses = gross profit b.Sales Revenue – Cost of Goods Sold = gross profit c.Service Revenue – Cost of Goods Purchased = gross profit d.Sales Revenue – Cost of Goods Manufactured = gross profit
Indicate whether each of the following costs is a product cost or a period (selling and administrative) cost: Event a. b. C. Advertising costs. d. e. f. g. Goods purchased for resale. Salaries of salespersons. h. i. Transportation-out. Interest on a note payable. Salary of the company president. Transportation-in. Insurance on the office building. Office supplies.
In the income statement of a merchandising business, why do you think we have to categorize expenses based on their nature or functions?
Which one of the following is not a carrying cost? Select one: A. Stores staffing, equipment, maintenance, and running costs B. Storage charges (rent, lighting, heating, etc.) C. Transportation costs D. Material handling costs
The cost of goods purchased line on the income statement of a retailer is the equivalent to which line on a manufacturer’s income statement? a. Cost of goods sold b. Cost of goods available for sale c. Cost of goods manufactured d. Cost of raw materials purchased Clear my choice
1. If the business purchases goods for resale purposes, such purchases are charged to?a. Expenses accountb. Sales accountc. Purchases accountd. None of the above 2. Costing information can be used for?a. Budget control and evaluationb. Determining standard costs and variancesc. Pricing and inventory valuation decisionsd. All of the above

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