Question

The Northridge Store is just one of many stores owned and operated by the company. The Cosmetics Department is one of many departments at the Northridge Store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are direct costs of the Cosmetics Department

Answer 1

Answer:

$41,960

Explanation:

the question is incomplete, so I looked for a similar question in order to fill in the missing parts:

• Corporate headquarters building lease $86,000
• Cosmetics Department sales commissions--Northridge Store $5,300
• Corporate legal office salaries $57,300
• Store manager's salary-Northridge Store $11,700
• Heating-Northridge Store $14,400
• Cosmetics Department cost of sales--Northridge Store $32,400
• Central warehouse lease cost $13,900
• Store security-Northridge Store $16,300
• Cosmetics Department manager's salary--Northridge Store $4,260

Direct costs are costs that are specific to a certain product, service or in this case, department or business unit. They are not shared with other products, services or business units.

The direct costs allocated to the Cosmetics Department are:

• Cosmetics Department sales commissions--Northridge Store $5,300
• Cosmetics Department cost of sales--Northridge Store $32,400
• Cosmetics Department manager's salary--Northridge Store $4,260
• total $41,960