Question
Paul Stanley specializes in manufacturing motorcycle helmets. During the current period, the following costs were incurred. For each cost, indicate whether the cost would be
Paul Stanley specializes in manufacturing motorcycle helmets. During the current period, the following costs were incurred.
For each cost, indicate whether the cost would be considered to be DM--direct material; DL--direct labor; OH--factory overhead; or PC-period cost.
1. Maintenance costs on factory building _______
2. Factory manager's salary ________
3. Advertising for helmets ________
4. Sales commissions ________
5. Depreciation on factory building ________
6. Rent on factory equipment ________
7. Insurance on factory building ________
8. Plastic used to make helmet ________
9. Utility costs for factory ________
10. Supplies for general office ________
11. Wages for assembly line workers ________
12. Depreciation of office equipment ________
13. Glue and thread used to make the helmet ________
14. Wages of factory janitor ________
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