Phase 2 Individual Project
Phase 2 Task 1 Cost Classification – IP Assignment
For this assignment the student is to Review SAC’s journal activity, and define and identify its variable, fixed, and mixed costs. In addition the student is to address the affect a sales volume increase or decrease will have on unit fixed cost, unit variable cost, total fixed cost, and total variable cost.
The assignment is to be in the following format.
I. Part 1 – Give an overview of what is going to be discussed in the memo
II. Part II Heading: Cost Analysis
a. Variable Cost – Define and give at least 1 example from the Journal
b. Fixed Costs – Define and give at least 1 example from the Journal
c. Mixed Costs – Define and give at least 1 example from the SAC Journal
III. Part III – Heading: Affects of Sales Adjustments on Costs ( About 2-3 Paragraphs)
a. Affect Sales volume increase/decrease has on unit fixed costs
b. Affect Sales volume increase/decrease has on unit variable costs
c. Affect Sales volume increase/decrease has on total fixed costs
d. Affect Sales volume increase/decrease has on total variable costs
IV. Conclusion
V. References