P2.32 LO 2.8 Product cost classification: manufacturer The following cost data for the current year relate to Heartstrings Pty Ltd, a greeting cards manufacturer: 2.9 Service department costs Direct labour: wages Direct labour: on-costs Indirect labour: on-costs On-costs for production supervisor Administrative costs Rental of office space for sales personnel Sales commissions Product promotion costs Direct material Advertising expense $ 200000 970000 190000 60000 18000 300000 30000 10000 20000 4200000 198000 (continued)

(continued) Depreciation on factory building Cost of finished goods inventory at year end Indirect labour: wages Production supervisor's salary Total overtime premiums paid Cost of idle time: production employees 1. All support services are provided to manufacturing departments. 2. The rental of sales space was made necessary when the sales offices were converted to storage space for raw material. 3. Cost of idle time is an overhead item; it is not included in direct labour wages given above Required Calculate each of the following costs for the year: 1. total prime costs 2. total manufacturing overhead costs 3. total conversion costs 4. total product costs (for external reporting purposes) 5. total period costs. 230000 230000 280000 90000 110000 80000