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Your friend, Suzie Whitson, has designed a new type of outdoor toy that helps children learn basic concepts such as colors, numbers, and shapes. Suzies

Your friend, Suzie Whitson, has designed a new type of outdoor toy that helps children learn basic concepts such as colors, numbers, and shapes. Suzies product will target two groups: day care centers in warm climates and home school programs. Her company is Jiffy Jet and costs for last month follow: Factory rent $ 3,020 Company advertising 1,190 Wages paid to assembly workers 30,500 Depreciation for salespersons vehicles 2,050 Screws 510 Utilities for factory 860 Assembly supervisors salary 3,530 Sandpaper 135 Presidents salary 5,140 Plastic tubing 4,080 Paint 265 Sales commissions 1,210 Factory insurance 1,170 Depreciation on cutting machines 2,160 Wages paid to painters 7,800 Assume that Suzie Whitson has decided to begin production of her outdoor childrens toy. Required: 1 and 2. Identify each of the preceding costs as either a product or a period cost. If the cost is a product cost, decide whether it is for direct materials (DM), direct labor (DL), or manufacturing overhead (MOH) and also identify each of the preceding costs as variable or fixed cost. 3. Determine the total cost for each of the following:

Factory rent $ 3,020
Company advertising 1,190
Wages paid to assembly workers 30,500
Depreciation for salespersons vehicles 2,050
Screws 510
Utilities for factory 860
Assembly supervisors salary 3,530
Sandpaper 135
Presidents salary 5,140
Plastic tubing 4,080
Paint 265
Sales commissions 1,210
Factory insurance 1,170
Depreciation on cutting machines 2,160
Wages paid to painters 7,800

a. Direct Materials
b. Direct Labor
c. Manufacturing Overhead
d. Prime Cost
e. Conversion Cost
f. Total Product Cost
g. Total Period Cost
h. Total Variable Cost
i. Total Fixed Cost

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