Cost Classification Loring Company incurred the following costs last year: Costs Direct materials Factory rent Amounts $216,000 24,000 Direct labor Factory utilities 120,000 6,300 Supervision in the factory 50,000 Indirect labor in the factory 30,000 Depreciation on factory equipment 9,000 Sales commissions 27,000 Sales salaries 65,000 Advertising 37,000 Depreciation on the headquarters building 10,000 Salary of the corporate receptionist 30,000 Other administrative costs 175,000 Salary of the factory receptionist 28,000