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Asheville Office Equipment, Inc. manufactures custom filing cabinets. Alma Ortiz, president of ...

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Asheville Office Equipment, Inc. manufactures custom filing cabinets. Alma Ortiz, president of ...

Asheville Office Equipment, Inc. manufactures custom filing cabinets. Alma Ortiz, president of Asheville Office Equipment, Inc., has gathered the following cost information from the company's accounting records for the latest month of operations.

Advertising

$15,000

Fire insurance premium for the factory equipment

5,000

Sales office depreciation

2,000

Oil for the machines used to produce the cabinets

1,500

Wood used to produce the cabinets

30,000

Property taxes on the factory building

8,000

Freight to ship the cabinets to customers

2,500

Sales department salaries

34,000

Production supervisors' salaries

18,000

Assembly line workers' wages

45,000

Required:

a.	Calculate the total period costs for the month.

b.	Calculate the total product costs for the month.

c.	Calculate the amount of manufacturing overhead incurred for the month.

Textbook

Managerial Accounting

Edition: 4^th

Author: Davis

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