Computation of Manufacturing overhead, Product Cost and Period Cost
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Knight Company reports the following costs and expenses in May.
| Factory utilities | $ 12,898 | Direct labor | $72,085 | |
| Depreciation on factory equipment | 14,387 | Sales salaries | 47,063 | |
| Depreciation on delivery trucks | 4,417 | Property taxes on factory building | 2,622 | |
| Indirect factory labor | 50,428 | Repairs to office equipment | 1,958 | |
| Indirect materials | 80,979 | Factory repairs | 2,258 | |
| Direct materials used | 138,146 | Advertising | 18,243 | |
| Factory manager's salary | 8,265 | Office supplies used | 3,149 |
From the information, determine the total amount of: (a) Manufacturing overhead. (b) Product costs. (c) Period costs.
| (a) | Manufacturing overhead | $ |
| (b) | Product costs | $ |
| (c) | Period costs | $ |
| (a) | Factory utilities | $12,898 |
| Depreciation on factory equipment | 14,387 | |
| Indirect factory labor | 50,428 | |
| Indirect materials | 80,979 | |
| Factory manager's salary | 8,265 | |
| Property taxes on factory building | 2,622 | |
| Factory repairs | 2,258 | |
| Manufacturing overhead | $171,837 |
| (b) | Direct materials | $138,146 |
| Direct labor | 72,085 | |
| Manufacturing overhead | 171,837 | |
| Product costs | $382,068 |
| (c) | Depreciation on delivery trucks | $4,417 |
| Sales salaries | 47,063 | |
| Repairs to office equipment | 1,958 | |
| Advertising | 18,243 | |
| Office supplies used | 3,149 | |
| Period costs |
14 years ago
Computation of Manufacturing overhead, Product Cost and Period Cost
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