Chapter 15 PR 15-1B, PR 15-2B eBook Calculator 1. PR. 15-01B Classifying Costs 2. PR. 15-02B The following is a list of costs that were incurred in the production and sale of lawn mowers. Classify each of the costs as either a product cost or a period cost. Indicate whether each product cost is a direct materials cost, a direct labor cost, or a factory overhead cost. Indicate whether each period cost is a selling expense or an administrative expense. Costs Classification a. Premiums insurance policy for factory buildings b. Tires for lawn mowers c. Filter for spray gun used to paint the lawn mowers d. Paint used to coat the lawn mowers, the cost of which is immaterial to the cost of the final product e. Plastic for outside housing of lawn mowers Salary of factory supervisor Hourly wages of operators of robotic machinery used in production h. Engine oil used in mower engines prior to shipment i. Salary of vice president of marketing j. Property taxes on the factory building and equipment k. Cost of advertising in a national magazine I. Gasoline engines used for lawn mowers m. Electricity used to run the robotic machinery n. Straight-line depreciation on the robotic machinery used to manufacture the lawn mowers o. Salary of quality control supervisor who inspects each lawn mower before it is shipped p. Attomey fees for drafting a new lease for headquarters offices 4. Payroll taxes on hourly assembly line employees Check My Work Next > Progress: 1/2 items Assignment Score: 0.0% Email Instructor Save and Exit Submit Assignment for Grading Chapter 15 PR 15-1B, PR 15-2B ? 1. PR. 15-01B eBook Calculator e. Plastic for outside housing lawn mowers f. Salary of factory supervisor g. Hourly wages of operators of robotic machinery used in production h. Engine oil used mower engines prior to shipment I. Salary of vice president of marketing 2. PR.15-02B j. Property taxes on the factory building and equipment k. Cost of advertising in a national magazine I. Gasoline engines used for lawn mowers m. Electricity used to run the robotic machinery n. Straight-line depreciation on the robotic machinery used to manufacture the lawn mowers Salary of quality control supervisor who inspects each lawn mower before it is shipped Attorney fees for drafting a new lease for headquarters offices 4. Payroll taxes on hourly assembly line employees r. Telephone charges for company controller's office S. Steering wheels for lawn mowers t. Factory cafeteria cashier's wages u. Cash paid to outside firm for janitorial services for factory v. Maintenance costs for new robotic factory equipment, based on hours usage w. Cost of boxes used in packaging lawn mowers X. License fees for use of patent for lawn mower blade, based on the number of lawn mowers produced y. Steel used in producing the lawn mowers z. Commissions paid to sales representatives, based on the number of lawn mowers sold Check My Work Progress: 1/2 items Next Assignment Score: 0.0% Email Instructor Save and Exit Submit Assignment for Grading Chapter 15 PR 15-1B, PR 15-2B eBook Calculator ? 1. PR.15-01B Classifying Costs 2. PR.15-02B The following is a list of costs incurred by several businesses. Classify each of the following costs as product costs or period costs. Indicate whether each product cost is a direct materials cost, a direct labor cost, or a factory overhead cost. Indicate whether each period cost is a selling expense or an administrative expense. Costs Classification a. Salary of quality control supervisor b. Packing supplies for products sold. These supplies are a very small portion of the total cost of the product. c. Factory operating supplies d. Depreciation of factory equipment e. Hourly wages of warehouse laborers f. Wages company controller's secretary
