Below are listed various costs that are incurred by various business entities:

Below are listed various costs that are incurred by various business entities:Commissions paid to Avon representativesRecurring advertising costs by a physician’s officeThe cost of hardware installed on sailboatsThe cost of rent on a college facilityShipping costs from a book distribution centerInsurance on a factory assembly facilitySalaries paid to temporary personnelDepreciation of assembly line facilities at FordFrom the information given above, select the items that would be correctly classified as a variable cost.Choices are as follows:Recurring advertising costs by a physician’s officeInsurance on a factory assembly facilityWages paid to temporary personnelShipping costs from a book distribution centerCommissions paid to Avon representativesThe cost of hardware installed on sailboatsDepreciation of assembly line facilities at FordThe cost of rent on a college facilitySOLUTION:VARIABLE COSTS:• Commissions paid to Avon representatives• Shipping costs from a book distribution center• Salaries paid to temporary personnel

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