CHAPTER 18 Classifying Costs The following is a list of costs incurred by severa
ID: 2572377 • Letter: C
Question
CHAPTER 18
Classifying Costs The following is a list of costs incurred by several businesses. Classify each of the following costs as product costs or period costs. Indicate whether each product cost is a direct materials cost, a direct labor cost, or a factory overhead cost. Indicate whether each period cost is a selling expense or an administrative expense: Costs Classification a. Cost of fabric used by clothing manufacturer b. Maintenance and repair costs for factory equipment c.Rent for a warehouse used to store work in process and finished products d. Wages of production quality control personnel e. Oil lubricants for factory plant and equipment f. Depreciation of robot used to assemble a product 9. Travel costs of marketing executives to annual sales meeting h. Depreciation of copying machines used by the Marketing Department i. Fees charged by collection agency on past-due customer accounts j. Electricity used to operate factory machinery k. Maintenance costs for factory equipment I. Pens, paper, and other supplies used by the Accounting Department in preparing various managerial reports m. Charitable contribution to United FundExplanation / Answer
Answer:-
Cost Direct Material Cost Direct LabourCost Factory Overhead Cost Selling Expense AdministrativeExpense a. X b. X c. X d. X e. X f. X g. X h. X I. X j. X k. X l. X m. X n. X o. X p. X q. X r. X s. X t. X u. X v. X w. X X. X