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ABC Industries has fixed assets totalling $10 million, $7.5 million are used in the production facilities, and $2.5 million are used by the administration. Depreciation

ABC Industries has fixed assets totalling

$10

million,

$7.5

million are used in the production facilities, and

$2.5

million are used by the administration. Depreciation related to the non-production assets is

$200,000

and the cost of maintenance is

$150,000

. Depreciation related to the production assets is

$300,000

and the cost of maintenance is

$100,000

. Which of the following costs would be included in the product cost?\ depreciation and maintenance for production assets:

$400,000

\ depreciation for all fixed assets:

$500,000

\ depreciation and maintenance for all assets:

$750,000

\ depreciation for production assets:

$300,000
image text in transcribed
ABC Industries has fixed assets totalling $10 million, $7.5 million are used in the production facilities, and $2.5 million are used by the administration. Depreciation related to the non-production assets is $200,000 and the cost of maintenance is $150,000. Depreciation related to the production assets is $300,000 and the cost of maintenance is $100,000. Which of the following costs would be included in the product cost? depreciation and maintenance for production assets: $400,000 depreciation for all fixed assets: $500,000 depreciation and maintenance for all assets: $750,000 depreciation for production assets: $300,000

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