162.The Putney Company reports the following information:
Sales
$76,500
Direct materials used
7,300
Depreciation on factory equipment
4,700
Indirect labor
5,900
Direct labor
10,500
Factory rent
4,200
Factory utilities
1,200
Sales salaries expense
15,600
Office salaries expense
8,900
Indirect materials
Compute:
a)product costs
b)period costs
163.Identify the following costs as a (a) product cost or (b) period cost for a cake factory.
1. Frosting
2. _____ Baker’s wages
3.Advertising fees
4.Transportation out
164.Classify the following costs as either a product cost or a period cost:
a)
direct materials used
b)
factory utilities
c)
salespersons’ commissions
d)
salary of plant manager
e)
indirect materials used
f)
depreciation on store equipment
g)
indirect labor incurred
h)
advertising expense
i)
direct labor incurred
j)
factory machinery repairs and maintenance
k)
depreciation on factory machinery
l)
plant insurance expired
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