Your family members are opening a sandwich/salad shop restaurant which accepts take out orders. They need your help with budgeting certain types of costs. The cost classifications are:

(1)Direct Materials(2) Direct Labor(3) Overhead (4)Selling expenses

While you are explaining how to classify the costs below, define the 4 types of costs and then help them to place the following costs in the correct categories:

Cold cuts/salad ingredients

Cook wages

Bus boy wages

Manager and cashier wages

Flyers

Utilities

Repair costs

To-go boxes