Telecom is a company that produces motherboards for Personal Computers from a range of bought in components. The following is a list of some of the costs which the company incurs

1. Depreciation of factory work benches

2. Bank Interest charges

3. Administrative salaries

4. Sundry factory expenses

5. Factory Insurance

6. Supervisors salary

7. Assembly operatives wages

8. Managing directors salary

9. Production Office computer depriciation

10. Purchase of Silicone Chips

11. Factory Rental

12. Depriciation of sales representatives cars

13. Purchase of circuit boards

14. Factory cleaning

15 . Distribution costs

Classify each item of expense as one of the following :

Direct Labour

Direct Material

Direct Expense

Indirect Production Overheads

Other Indirect Overheads