Question
Assume that a manufacturing company incurred the following costs: Direct labor $ 90,000 Advertising $ 40,000 Factory supervision $ 35,000 Sales commissions $ 15,000 Depreciation,
Assume that a manufacturing company incurred the following costs: Direct labor $ 90,000 Advertising $ 40,000 Factory supervision $ 35,000 Sales commissions $ 15,000 Depreciation, office equipment $ 4,000 Indirect materials $ 5,000 Depreciation, factory building $ 20,000 Administrative office salaries $ 1,000 Utilities, factory $ 2,500 Direct materials $ 105,000 Insurance, factory $ 6,000 Property taxes, factory $ 7,000
What is the total amount of variable selling and administrative cost?
Multiple Choice answer could be one of the following: $55,000 $50,000 $15,000 $20,000
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