Problem 1 Cost Classifications a.) Variable Cost b.) Fixed Cost c.) Work In Process Inventory d.) Finished Goods Inventory e.) Cost of Goods Sold f.) Cost of Goods Manufactued g.) Period Costs h.) Sunk Cost i.) Product Cost j.) Indirect cost 1.) Cannot be connect to a cost object 2.) Portion of total cost that does not change with the quantity of output 3.) Portion of total cost that changes with the quantity of output 4.) Non-product expenditures for managing the firm and selling the product 5.) Contains all cost put into the manufacturing of a product that have been started but not completed at the financial statement date 6.) The cost of Goods ready to be sold 7.) Cost of goods finished and transferred out of the WIP Inventory Account during a specific period 8.) Cost that have been incurred in the past and have do not impact future costs 9.) Cost of the product transferred to the income statement when inventory is sold 10.) The costs necessary to complete the product: direct materials, direct labor and overheads
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