2. Kennedy Company reports the following costs and expenses in May. Factory util
ID: 2370696 • Letter: 2
Question
2.
Kennedy Company reports the following costs and expenses in May.
Factory utilities $ 16,500 Direct labor $79,100
Depreciation on factory Sales salaries 51,400
equipment 12,650 Property taxes on factory
Depreciation on delivery trucks 3,800 building 2,500
Indirect factory labor 48,900 Repairs to office equipment 1,300
Indirect materials 70,800 Factory repairs 2,000
Direct materials used 187,600 Advertising 24,000
Factory manager's salary 8,000 Office supplies used 2,640
Instructions
From the information, determine the total amount of:
(a) Manufacturing overhead.
(b) Product costs.
(c) Period costs.
Explanation / Answer
(a) Manufacturing overhead.
Factory utilities $ 16,500
Depreciation on factory equipment 12,650
Indirect factory labor 48,900
Indirect materials 70,800
Factory manager's salary 8,000
(b) Product costs.
Direct labor $79,100
Direct materials used 187,600
(c) Period costs.
Property taxes on factory building 2,500
Repairs to office equipment 1,300
Factory repairs 2,000
Advertising 24,000
Factory manager's salary 8,000
Office supplies used 2,640
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.