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1 year ago

All of a company's depreciation, property taxes, and insurance premiums are considered manufacturing overhead.

1 answer:

7 0

All of a company's depreciation, property taxes and insurance premiums are considered manufacturing overhead (MOH) ----- False.

What is considered manufacturing overhead?

Manufacturing overhead (MOH) cost is the sum of all the indirect costs which are incurred while manufacturing a product. It is added to the cost of the final product along with the direct material and direct labor costs.

What does manufacturing overhead include?

Manufacturing overhead includes indirect materials, indirect labor, depreciation on factory buildings and machines, and insurance, taxes, and maintenance on factory facilities. Costs that are a necessary and integral part of producing the finished product.

. Direct labor :

Is the cost of the workers who make the product. The cost of supervisory personnel, management, and factory maintenance workers, although they are needed to operate the factory, are classified as indirect labor because these workers do not use the direct materials to build the product.

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3 years ago

A 20-year loan of 2,500 is repaid with payments at the end of each year. Each of the first ten payments equals 175% of the amoun

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Answer:

The answer is 156.25

Explanation:

In the 1st year:

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3 years ago

Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million. The investment will result

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Answer:

The payback period for this project is 2.43 years.

Explanation:

Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million.

The investment will result in additional cash flows of $525,000, $812,500, and 1,200,000 over the next three years.

The payback period is the time it takes to cover the investment to be covered by returns.

The investment cost remaining in the first year

= $1,850,000 - $525,000

= $1,325,000

The investment cost remaining in the second year

= $1,325,000 - $812,500

= $512,500

The third year payback

= $\frac{\$ 512,500}{\$ 1,200,000}$

= 0.427

The total payback period

= 2.43 years

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3 years ago

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Explanation:

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4 years ago

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Answer: Option (C) is correct.

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Suppose the capital and labor increases by 10% then as a result output also increases by 10%.

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