Answer:
1. Assembly line wages - Direct labor, manufacturing cost
2. Raw material used directly in product - Direct material, manufacturing cost
3. Depreciation on office equipment - In direct, Administrative cost
4. Property tax on factory building - Indirect, Manufacturing cost
6. Sales commission - Selling cost
7. Depreciation on factory equipment - Direct, Manufacturing cost
8. Factory utilities - Administrative cost
9. Wages for factory maintenance workers - Direct, Manufacturing cost
10. Advertising - Selling cost
11. Indirect material used in production - Indirect, Manufacturing cost
12. Factory manager's salary - Administrative cost
Explanation:
The cost which is affected by the production of units is known as variable cost. The cost which does not vary with the units produced is fixed cost.
The costs which are related to selling and storage of the finished goods is selling cost. The cost which is not affected by units produced and is related to office premises and controlling an organization is administrative cost. The cost which varies with the production of units and is incurred to convert raw material into finished goods is manufacturing cost.
