Question
Oskar Corp. reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2020, included the
Oskar Corp. reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2020, included the following expense accounts:
Accounting and legal fees | $120,000 | |
Advertising | 150,000 | |
Freight-out | 75,000 | |
Interest | 60,000 | |
Loss on sale of long-term investments | 30,000 | |
Officers' salaries | 180,000 | |
Rent for office space | 160,000 | |
Sales salaries and commissions | 110,000 |
One-half of the rented premises is occupied by the sales department. How much of the expenses listed above should be included in Oskars general and administrative expenses for 2020?
$470,000
$410,000
$440,000
$380,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started