Required Identify the following costs as fixed or variable. Costs related to pla
ID: 2443918 • Letter: R
Question
RequiredIdentify the following costs as fixed or variable. Costs related to plane trips between San Diego, California, and Orlando, Florida, follow. Pilots are paid on a per trip basis.
a. Pilots' salaries relative to the number of trips flown.
b. Depreciation relative to the number of trips flown.
c. Cost of refreshments relative to the number of passengers.
d. Pilots's salaries relative to the number of passengers on a particular trip.
e. Cost of a maintenance check relative to the number of passengers on a particular trip.
f. Fuel costs relative to the nuumber of trips.
National Union Bank operates several branch offices in grocery stores. Each branch employs a supervisor and two tellers.
g. Tellers' salaries relative to the number of tellers in a particular district.
h. Supplies cost relative to the number of transactions processed in a particular branch.
i. Tellers' salaries relative to the number of customers served at a particular branch.
j. Supervisors' salaries relative to the number of branches operated.
k. Supervisors' salaries relative to the number of customers served in a particular branch.
l. Faculity rental costs relative to the size of customer deposits.
Costs related to operating a fast-food resturant follow.
m. Depreciation of equipment relative to the number of restaurants.
n. Building rental cost relative to the number of customers served in a particular restaurant.
o. Manager's salary of a particular restaurant relative to the number of employees.
p. Food cost relative to the number of customers.
q. Utility cost relative to the number of restaurants in operation.
r. Company president's salary relative ot the number of restaurants in operation.
s. Land costs relative to the number of hamburgers sold at a particular restaurant.
t. Depreciation of equipment relative to the number of customers served at a particular restaurant.
Explanation / Answer
Identify the following costs as fixed or variable. Costs related top plane trips between San Diego, California, and Orlando, Florida, follow. Pilots are paid on a per trip basis. a. Pilots’ salaries relative to the number of trips flown- Variable cost. b. Depreciation relative to the number of planes in service- Variable cost. c. Cost of refreshment relative to the number of passengers- Variable cost d. Pilots’ salaries relative to the number of passengers on a particular trip- Fixed cost e. Cost of a maintenance check relative to the number of passengers on a particular trip. - Fixed Cost f. Fuel costs relative to the number of trips. - Variable cost. National Union Bank operates several branch offices in grocery stores. Each branch employees a supervisor and two tellers. g. Tellers’ salaries relative to the number of transactions processed in a particular branch- Fixed Cost h. Supplies cost relative to the number of transactions processed in a particular branch- Variable cost i. Tellers’ salaries relative to the number of customers served at a particular branch- Fixed cost j. Supervisors’ salaries relative to the number of branches operated- Variable cost k. Supervisors’ salaries relative to the number of customers served in a particular branch- Fixed cost l. Facility rental costs relative to the size of customer deposits- Fixed cost. Costs related to operating a fast-food restaurant follow. m. Depreciation of equipment relative to the number of restaurants- Fixed cost. n. Building rental cost relative to the number of customers served in a particular restaurant- Fixed cost. o. Manager’s salary of a particular restaurant relative to the number of employees- Fixed cost. p. Food cost relative to the number of customers- Variable cost. q. Utility cost relative to the number of restaurants in operation- Variable cost. r. Company president’s salary relative to the number of restaurants in operation- Fixed cost. s. Land costs relative to the number of hamburgers sold at a particular restaurant- Fixed cost. t. Depreciation of equipment relative to the number of customers served at a particular restaurant- Variable cost.
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