The total of the period costs listed above for December is:
$89,000 $310,000 $325,000 $399,000 Period costs = Administrative wages and salaries + Sales staff salaries + Corporate headquarters building rent + Marketing $105,000 + $68,000 + $34,000 + $103,000 $310,000
AACSB: Analytic AICPA BB: Critical Thinking AICPA FN: Measurement Blooms: Apply Learning Objective: 02-02 Distinguish between product cost and period costs and give examples of each. Level: 2 Medium
The total of the manufacturing overhead costs listed above for December is:
$325,000 $635,000 $89,000 $40,000 Manufacturing overhead costs = Factory supplies + Factory depreciation + Indirect labor $8,000 + $49,000 + $32,000 $89,000
AACSB: Analytic
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