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Question 17. 17. The following cost data pertains to the operations of Ladwig De

ID: 2489691 • Letter: Q

Question

Question 17. 17. The following cost data pertains to the operations of Ladwig Department Stores, Inc., for the month of December. Corporate legal office salaries: $68,000 Shoe Department cost of sales, Brentwood Store: $66,000 Corporate headquarters building lease: $86,000 Store manager's salary, Brentwood Store: $10,000 Shoe Department sales commissions, Brentwood Store: $5,000 Store utilities, Brentwood Store: $11,000 Shoe Department manager's salary, Brentwood Store: $3,000 Central warehouse lease cost: $3,000 Janitorial costs, Brentwood Store: $11,000 The Brentwood store is just one of many stores owned and operated by the company. The Shoe department is one of the many departments at the Brentwood store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are NOT direct costs of the Brentwood store? (Points : 3) $74,000 $32,000 $157,000 $86,000

Explanation / Answer

The costs that are not directly   attributable to Brentwood store are : Cost Details Amt $ Corporate leagl office salaries             68,000 Corporate HQ Building Lease             86,000 Central Warehouse Lease cost               3,000 Total            157,000 Total costs that are not direct costs of Brentwood store are =$157,000

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