Classity each o GeorglaPacifics costs below as elther an Inv

Classity each o Georgla-Pacific\'s costs below as elther an Inventorlable product cost (direct or Indirect) or a perlod cost (selling or administrative) and also as elther a varlable or a flxed cost. You should have two check marks (or \"Xs) for each listed cost below. As an example, the first one in the lilst has been completed for you. Note that each item is classified in two ways: first, as elther varlable or flaced with respect to the number of unlts produced and sold; and second, as elther a period cost (selling or administrative cost) or a product cost (direct or indirect with respect to a unlt of productlon). (Worth pL for each correct clasietlon for a total of 12 pts.): Cost Behavior Period Costs Product Costs Variable Flsed SellingAdministrative DirectIndirect Cost Item Example: Cost of TV ads promoting 1. Purchase of lumber to be cut into boardsX 2· Lease payment on the administrative 3. Salaries of scientists in Georgia-Pacific\'s Rescarch & Development Division studying ways to speed forest growth. 4. Cost of new software to track inventory during 5. Salaries of Georgia-Pacifie\'s top executives Stephanie Hand & Z1813900 6. Life insurance for the CEO 7. Cost of chemical applied to all lumber produced to inhibit mold from developing 8. Depreciation on the equipment used to manufacture gypsum boards in the building materials manufacturing plant 9. Wages and benefits paid to assembly-line workers in the paper manufacturing plarnt 10. Salaries paid to ouality control inspectors in

Solution

Cost Item Cost Behaviour Period Cost Product Cost 1 Variable Direct 2 Fixed Admin 3 Fixed Direct 4 Fixed Indirect 5 Fixed Admin 6 Fixed Admin 7 Variable Direct 8 Fixed Indirect 9 Variable Direct 10 Fixed Indirect 11 Variable Indirect 12 Variable Selling