25. Companies that switch to ABC often find they have a. been overpricing some products. b. possibly losing market share to competitors. c. been sacrificing profitability by underpricing some products. d. All of the answers are correct 26. Sales commissions are classified as a. overhead costs b. period costs. c. product costs. d. indirect labor. Problems: 1. Kennedy Company reports the following costs and expenses in May $79,100 Direct labor Sales salaries Property taxes on factory Factory utilities s 16,500 48,400 Depreciation on factory equipment Depreciation on delivery trucks Indirect factory labor Indirect materials Direct materials used Factory manager's salary 12,650 3,800 48,900 70,800 157,600 8,000 2,500 1,300 2,000 23,000 4,640 building Repairs to office equipment Factory repairs Advertising Office supplies used Instructions of: (a) Manufacturing overhead. (b) Product costs