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A chair manufacturer makes custom chairs using hand tools, wood, glue, and varnish. Which of the following statements is true? Multiple Choice Wood would be accounted for as a direct cost, and glue and varnish as indirect costs. O The concepts of direct and indirect costs are not applicable here. O c ) The costs of wood and glue would be treated as direct costs. O O Wood, glue, and varnish would all be direct materials Jiminez Company paid its annual property tax of $6,000 on its manufacturing facility in January. The company expects to make 4,000 units of product during the year. During January, 300 units of product were produced. Based on this information: Multiple Choice $500 of the property tax cost should be allocated to the January production $6,000 of the property tax cost should be assigned to the January production O () $450 of the property tax cost should be allocated to the January production O $1,500 of the property tax cost should be allocated to the January production, O Clean, Inc. cleans and waxes floors for commercial customers. The company is presently operating at less than capacity with equipment and employees idle at times. The company recently received an order from a potential customer outside the company's normal geographic service region for a price of $29,000. The size of the proposed job is 42,000 square feet. The company's normal service costs are as follows: Unit-level materials Unit-level labor Unit-level variable overhead Facility-level overhead $0.38 per square foot $0.45 per square foot $0.28 per square foot Allocated at $0.30 per square foot If the company accepts the special offer Multiple Choice The company will lose $17,620 on the job The company will lose $30,220 on the job. O The company will lose $17,620 on the job. O The company will lose $30,220 on the job. O The company will earn $13,040 on the job. O The company will lose $5,860 on the job