1. ABC Manufacturing Inc. is analyzing its SG&A expenses and factory overhead:
   • Requirements:
     • Calculate the SG&A expenses for the quarter:
       • Salaries: $500,000
       • Marketing Expenses: $100,000
       • Administrative Costs: $200,000
   • Determine the Factory Overhead costs:
     • Indirect Labor: $50,000
     • Utilities: $20,000
   • Compare SG&A as a percentage of revenue with the industry average.
   • Discuss strategies to reduce factory overhead without compromising production efficiency.