Boca manufactures LX and RX stereo systems in Southern Ontario. Boca incurs various costs both...
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Accounting
Boca manufactures LX and RX stereo systems in Southern Ontario. Boca incurs various costs both in producing these stereos and in the operations of the company. Classify each of the following cost items according to the terms. A cost can be classified under more than one category. If in doubt, select the cost type based on whether the total costs will increase substantially if a large number of stereo systems are produced.
Variable cost
Fixed cost
Direct cost
Indirect cost
Product cost
Period cost
Design of LX stereo
Plant Janitor
Machine Amortization
Factory maintenance
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