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Curtis Unique Toys has an on-line business where it sells a variety of hand-made toys. The company ...

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Curtis Unique Toys has an on-line business where it sells a variety of hand-made toys. The company ...

Curtis Unique Toys has an on-line business where it sells a variety of hand-made toys. The company purchases the items from local wood workers and artisans and ships them all over the world. Identify each of the following costs incurred by Curtis in terms of its cost behavior — variable, fixed, mixed, or step.

a.	Replacement wheels for toy wagons

b.	Wages for salesclerks who are paid for the number of orders they ship

c.	Webmaster fee which bills Curtis a base fee plus a small charge for every update

made

d.	Shipping charges for bulk shipments (billed in 100-pound increments)

e.	Telephone charges (base rate plus usage)

f.	Rental for warehouse space

g.	Salary for Curtis (president of company)

h.	Sales bonuses to on-line order clerks of $1 for each clearance item sold

i.	Straight line depreciation on store fixtures

j.	Boxes for shipping toys

Textbook

Managerial Accounting

Edition: 4^th

Author: Davis

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