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Electric Company (EEC) provides electricity for several states in the United States

Accounting

Electric Company (EEC) provides electricity for several states in the United States. You have been employed as a cost accountant at this organization. As EEC's corporate business cost accountant, you will need to have a clear understanding of the different types of costs (variable, fixed, mixed, direct materials, direct labor, and overhead) that the company carries.

With your classmates, please discuss the following:

  • Describe the differences between variable, fixed, and mixed costs, and list an example of each.
  • Describe the differences between direct labor, direct material, manufacturing overhead, and nonmanufacturing costs, and list an example of each.

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