Reference no: EM131135430
Classifying costs
The following is a list of costs incurred by several businesses:
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
g. 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
l. Pens, paper, and other supplies used by the Accounting Department in preparing various managerial reports
m. Charitable contribution to United Fund
n. Depreciation of microcomputers used in the factory to coordinate and monitor the production schedules
o. Fees paid to lawn service for office grounds upkeep
p. Cost of sewing machine needles used by a shirt manufacturer
q. Cost of plastic for a telephone being manufactured
r. Telephone charges by president's office
s. Cost of 30-second television commercial
t. Surgeon's fee for heart bypass surgery
u. Depreciation of tools used in production
v. Wages of a machine operator on the production line
w. Salary of the vice president of manufacturing operations
x. Factory janitorial supplies
Instructions
Classify each of the preceding costs as a product cost or period cost. 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. Use the following tabular headings for preparing your answer, placing an "X" in the ap- propriate column:
Product Costs Period Costs
|
Direct
|
Direct
|
Factory
|
|
Materials
|
labor
|
Overhead
|
|
Selling
|
Administrative
|
Cost
|
Cost
|
Cost
|
Cost
|
|
Expense
|
Expense
|
Production and direct labor cost budgets
: Levi Strauss & Co. manufactures slacks and jeans under a variety of brand names, such as Dockers® and 501 Jeans®. Slacks and jeans are assembled by a variety of different sew- ing operations. Assume that the sales budget for Dockers and 501 Jeans..
|
Discuss the ways chistianity and islam spread in eastern
: Discuss the ways that Chistianity, Islam, and Buddhism spread in Eastern and Western Europe, Africa and the Middle East, and East and Southeast Asia.
|
Application on transfer pricing decisions
: As a manager, you may be tasked with making recommendations as to how your organization should structure its transfer pricing. This is especially true in cases when both variable or full cost transfer pricing is acceptable, and the choice is not ..
|
How has this been implemented and for what reason
: Over the years, many famous brands have been repositioned. Some include KFC, Friendly's, Radio Shack and JC Penny. Using the online library or other scholarly resources, give several examples of brands that have been recently repositioned. How has..
|
Cost of fabric used by clothing manufacturer
: The following is a list of costs incurred by several businesses: a. Cost of fabric used by clothing manufacturer b. Maintenance and repair costs for factory equipment
|
What is the maximum loan you can borrow from your broker
: What is the price weighted index change (in %) on 1/7 relative to that on 116 and what is the initial minimum equity you need to put into the account - What is the maximum loan you can borrow from your broker?
|
Estimate the effect of class size on test scores
: A school district undertakes an experiment to estimate the effect of class size on test scores in second-grade classics. The district assigns 50% of its previous year's first grades to small second-grade classes
|
Lundquist paid the amount previously written off
: On December 31, 2012, Dita Co. estimated that 2% of its net sales of $400,000 will become uncollectible. The company recorded this amount as an addition to Allowance for Doubtful Accounts. On May 11, 2013, Dita Co. determined that the Alex Lundqui..
|
Explain the gender or racial stereotype
: Explain the gender or racial stereotype in media and film that is being displayed in the example and how it aligns with improper everyday examples of gender or race.
|