For a manufacturing business which of the following would be charged to manufact

Question

For a manufacturing business which of the following would be charged to manufacturing overhead/ factory overhead? A- overtime premium for factory workers B- employer payroll taxes such as Federal unemployment taxes C- indirect labor such as the wages of the factory floor janitor D- indirect materials such as glue E- all of the above answers are charged to manufacturing overhead/factory overhead For a manufacturing business which of the following would be charged to manufacturing overhead/ factory overhead? A- overtime premium for factory workers B- employer payroll taxes such as Federal unemployment taxes C- indirect labor such as the wages of the factory floor janitor D- indirect materials such as glue E- all of the above answers are charged to manufacturing overhead/factory overhead A- overtime premium for factory workers B- employer payroll taxes such as Federal unemployment taxes C- indirect labor such as the wages of the factory floor janitor D- indirect materials such as glue E- all of the above answers are charged to manufacturing overhead/factory overhead

Explanation / Answer

Manufacturing overhead is any or all indirect expenses of the company for production. Any expenditure which is not directly related to production is indirect expenditure and therefore it is called as “manufacturing overhead”.

Manufacturing overhead includes the following:

Therefore, the correct option is (E) all of the above.

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