Homework Answers
Product costs include the cost of direct materials used, direct labor, and manufacturing overheads.
| Direct materials: | |
| Fabric used to upholster furniture | 10500 |
| Freight-in (on raw materials) | 3600 |
| Lumber used to build products | 82700 |
| Direct labor: | |
| Wages paid to assembly line workers | 115800 |
| Manufacturing overheads: | |
| Depreciation on factory equipment | 16100 |
| Factory supervisor salary | 50100 |
| Lubricants used in factory equipment | 3100 |
| Insurance costs for factory | 21300 |
| Wages paid to maintenance workers | 115700 |
| Utilities in factory | 54500 |
| Total product cost $ | 473400 |
Answer: Option C. $473,400
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25.
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Custom Creations Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs from the past year include: Depreciation on sales office $ 9,300 Depreciation on factory equipment 16,300 Factory supervisor salary 50,700 Sales commissions 23,100 Lubricants used in factorydequipment 3,200 Insurance costs for factory 21,000 Wages paid to maintenance workers 115,500 Fabric used to upholster furniture 10,000 Freight - in (on raw materials) 3,800 Insurance costs for factory Wages paid to maintenance workers Fabric used to upholster...
Sales commissions Insurance costs for factory Freight-in (on raw materials) Utilities in factory Factory supervisor salary Depreciation on factory equipment Utilities in sales office Costs of delivery to customers Depreciation on sales office Lubricants used in factory equipment $7,200 $21,600 $3,600 $12,500 $60,800 $18,700 $26,200 $8,900 $1,600 $200 Manufacturing overhead costs for Rustic Living Furniture Company totaled O A. $81,100 O B. $152,100. O C. $173,900 OD. $221,400. Rustic Living Furniture Company manufactures furniture at its central Kentucky factory. Some...
Country Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs from the past year include: E: (Click the icon to view the data.) Data Table Prime costs for Country Furniture Company totaled $ O A. $378,600 O B. $93,100. O C. $209,000 OD. $212,200 Depreciation on sales office Depreciation on factory equipment Factory supervisor salary Sales commissions Lubricants used in factory equipment Insurance costs for factory Wages paid to maintenance workers Fabric used to upholster furniture...
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25.
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