Bill Pope has developed a new device that is so exciting he is considering quitting his job in order to produce and market it on a large-scale basis. Bill will rent a garage for $300 per month for production purposes. Utilities will cost $40 per month. Bill has already taken an industrial design course at the local community college to help prepare for this venture. The course cost $300. Bill will rent production equipment at a monthly cost of $800. He estimates the material cost per unit will be $5, and the labor cost will be $3. He will hire workers and spend his time promoting the product. To do this he will quit his job which pays $3,000 per month. Advertising and promotion will cost $900 per month.

Required:
Complete the table by indicating whether the cost fall under a particular type of cost category.

 	     Opportunity Cost	Sunk Cost	Variable Cost	Fixed Cost  	Manufacturing Overhead Cost	Product Cost	Selling Cost  	     Differential Cost*
  Garage rent	No  	No  	No  	Yes  	Yes  	Yes  	No  	Yes
  Utilities	No  	No  	No  	Yes  	Yes  	Yes  	No  	Yes
  Cost of the industrial design course	No  	Yes  	No  	No  	No  	No  	No  	No
  Equipment rented	No  	No  	No  	Yes  	Yes  	Yes  	No  	Yes
  Material cost	No  	No  	Yes  	No  	No  	Yes  	No  	Yes
  Labor cost	No  	No  	Yes  	No  	No  	Yes  	No  	Yes
  Present salary	Yes  	No  	No  	No  	No  	No  	No  	Yes
  Advertising	No  	No  	No  	Yes  	No  	No  	Yes  	Yes