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I am currently working on the very first question.
I understand the difference between Variable, Fixed, Period Cost, Direct Labour, Direct Material ect.
I simply do not understand how to create the chart by using exhibit 1.
Do i use each heading as a selected cost which would look like this: Revenues Rentals$100.00/hr a rental ( Fixed Cost, Direct Material, Direct) …. and place $100.00 into each of these categories on the excel sheet?
Then…
Tours
$150 per tour (Fixed Cost, Period Cost, Direct Labour, Direct) and place $150.00 into each of these allocated spots?
then…
Labour
Management
Owner (Fixed, Period Cost,) and place $155 000.00 into each of these spots
Operations Manager (Fixed Cost, Manufacturing Overhead, Direct) and place 85 500.00 into each of those spots.
Maintenance Supervisor (Fixed, Manufacturing Overhead, Indirect) and place 7500.00 into each of those spots.
this is as much as i have done so far and am not sure if i am on the right track with what the first part of this assignment is asking.
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