Winter, inc,. is a manufacturing firm that makes table tennis paddles. Each padd

Question

Winter, inc,. is a manufacturing firm that makes table tennis paddles. Each paddle consists of a handle, a wooden paddle, and a rubber backing for each side of the wooden paddle. As the paddles progress through the assembly process, workers attach the handles and glue the rubber backing into place. Classify the following costs as one of the following four options by placing the number of the correct answer in the space provided. 1. Direct materials cost 2. Direct labor cost 3. manufaturing overhead cost 4 selling and administrative cost A. cost of glue B. cost of handles C. cost of rubber packing for the handles D.cost of shipping crates E. cost of wooden paddles F. depreciation on deilivery trucks G. depreciation on the factory equipment H. office worker's salaries I. production supervisor's salaries. J rent on finished goods warehouse K. Rent on production facilities. L. Rent on direct materials materials warehouse. M. Utilities for the production facilities N wages of assembly workers O wages of sales personnel

Explanation / Answer

1. Direct materials cost B. cost of handles E. cost of wooden paddles C. cost of rubber packing for the handles . 2. Direct labor cost N wages of assembly workers 3. manufaturing overhead cost A. cost of glue (i will put it here because you are not able to track how much glue to be used for 1 paddle) K. Rent on production facilities M. Utilities for the production facilities I. production supervisor's salaries. J rent on finished goods warehouse L. Rent on direct materials materials warehouse. G. depreciation on the factory equipment D.cost of shipping crates 4 Selling and administrative cost F. depreciation on deilivery trucks O wages of sales personnel H. office worker's salaries

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