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The PC Works assembles custom computers from components supplied by various manufacturers. The company is very small and its assembly shop and retail sales store
The PC Works assembles custom computers from components supplied by various manufacturers. The company is very small and its assembly shop and retail sales store are housed in a single facility in a Redmond, Washington, industrial park. Listed below are some of the costs that are incurred at the company. Required: For each cost, indicate whether it would most likely be classified as direct labor, direct materials, manufacturing overhead, selling, or an administrative cost. 1. The cost of a hard drive installed in a computer. Direct labor cost Direct materials cost Manufacturing overhead cost Marketing and selling cost Administrative cost 2. The cost of advertising in the Puget Sound Computer User newspaper. Direct labor cost Direct materials cost Manufacturing overhead cost Marketing and selling cost Administrative cost 3. The wages of employees who assemble computers from Direct labor cost Direct materials cost Manufacturing overhead cost Marketing and selling cost Administrative cost
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