Question

4. If labeled as variable (or semi-variable) costs, identify the cost driver:

ITEMS	TYPE OF COST
Product Cost	Product cost involves a number of cost that include both fixed and variable costs. For example Rent, Normal Profit, Depreciation etc. example of Fixed Cost and Veritable Costs are depend on Output. So we can say that it is a Semi-variable Cost.
Carrying Cost	It means cost incurred to carry the goods in your godown for storage. It is also known as holding cost. So we can say that it is totally a Variable Cost.
Flavor Cost	It is a Variable cost
Vitamins Cost	It is a Variable Cost
Electrolytes Cost	It is a Variable Cost but after some it remain constant doesn't matter how many units you produced.
Sales & Marketing Cost	Selling and Marketing expenses are categorized as indirect expenses on a company's income statement because they do not contribute directly of the making of a product or delivery of a services. Some component can change as sales volumes increase or decrease, while other remain stable. So Sale and Marketing cost are consider as Semi-Variable Cost.
Price Discount
Brand equity and Advertising	Brand Equity is a Cost of Brand it also indicates Brand Strength. But Advertising Cost is a Variable Cost.
Salaries	It is Fixed Cost. But other type of compensation, such as Commission or Overtime are Variable Costs.
Benefits & Programs

Answer 1

Answer:

ITEMS	TYPE OF COST	COST DRIVERS
Product Cost	Product cost involves a number of cost that include both fixed and variable costs. For example Rent, Normal Profit, Depreciation etc. example of Fixed Cost and Veritable Costs are depend on Output. So we can say that it is a Semi-variable Cost	The product cost is allocated by using number of units produced as the cost driver
Carrying Cost	It means cost incurred to carry the goods in your godown for storage. It is also known as holding cost. So we can say that it is totally a Variable Cost.	Number of goods carried in godown
Flavor Cost	It is a Variable Cost	Number of units Produced.
Vitamins Cost	It is a Variable Cost	Number of units Produced.
Electrolytes Cost	It is a Variable Cost but after some it remain constant doesn't matter how many units you produced.	Number of units Produced.
Sales & Marketing Cost	Selling and Marketing expenses are categorized as indirect expenses on a company's income statement because they do not contribute directly of the making of a product or delivery of a services. Some component can change as sales volumes increase or decrease, while other remain stable. So Sale and Marketing cost are consider as Semi-Variable Cost.	Number of units sold
Brand equity and Advertising	Brand Equity is a Cost of Brand it also indicates Brand Strength. But Advertising Cost is a Variable Cost.	Number of advertisements, Number of sales personnel etc.
Salaries	It is Fixed Cost. But other type of compensation, such as Commission or Overtime are Variable Costs.	The Commission and Overtime are genrally allocate using Labour Hours