Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines.
The rent paid for the thousand acres on which the wine grapes are grown.
A. Variable cost.
B. Fixed cost.
Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines.
The workers who are hired and paid in the months of September and October to harvest the grapes from the vines. Fixed costs are those costs that do not change when output changes; that is, fixed costs are fixed (unchanged) regardless of the output level. Variable costs vary with the level of output.
A. Variable cost.
B. Fixed cost.
Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines.
The annual lease paid for the equipment that is used to wash and mash the grapes to make the wine (assume that the lease fee has already been paid). Fixed costs are those costs that do not change when output changes; that is, fixed costs are fixed (unchanged) regardless of the output level. Variable costs vary with the level of output.
A. Fixed cost.
B. Variable cost.
Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines.
The cost of transporting the wine from the winery to the retail stores that sell the wine.
A. Fixed cost.
B. Variable cost.
| Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines. |
| The rent paid for the thousand acres on which the wine grapes are grown. | |||||||||
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| Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines. |
| The workers who are hired and paid in the months of September and October to harvest the grapes from the vines. Fixed costs are those costs that do not change when output changes; that is, fixed costs are fixed (unchanged) regardless of the output level. Variable costs vary with the level of output. | ||||||||
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| Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines. |
| The annual lease paid for the equipment that is used to wash and mash the grapes to make the wine (assume that the lease fee has already been paid). Fixed costs are those costs that do not change when output changes; that is, fixed costs are fixed (unchanged) regardless of the output level. Variable costs vary with the level of output. | ||||||||
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| Volcano Winery produces white wines on the slopes of a Hawaii volcano. For each of the following, determine if the cost represents a fixed cost or a variable cost of producing the wines. |
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| The cost of transporting the wine from the winery to the retail stores that sell the wine. | |||||||
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Related textbook solutions
Related questions
Harris Company manufactures a single product. Costs for the year 2015 for output levels of 1,000 and 2,000 units are given in the table. At each level compute the following:
A. Total manufacturing costs
B. Manufacturing costs per unit
C.Total Variable cost
D. Total variable cost per unit
E. Total costs that have to be recovered if the firm makes a profit
Table:
| Unit Produced | 1000 | 2000 | |
| Direct labour | $30,000 | $60,000 | |
| Direct Materials | $20,000 | $40,000 | |
| Overhead: | |||
| Variable portion | $12,000 | $24,000 | |
| Fixed portion | $36,000 | $36,000 | |
| Selling and Administrative cost | |||
| Variable portion | $5,000 | $10,000 | |
| Fixed portion | $22,000 | $22,000 |
If possible please show all work
