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.
Learn more about company's depreciation :
brainly.com/question/1055905
#SPJ4
A) it is more accurate than accrual accounting.
Answer:
Margin of safety - Units =3350
Margin of safety - Sales Revenue = $251250
Explanation:
Margin of Safety indicates how much sales may decrease before a loss can be made.
<u>Margin of safety - Units</u>
Margin of safety - Units = 5000-1650 =3350
<em>Margin of Safety as a % = 3350/5000 ×100 = 67%</em>
<u>Margin of safety - Sales Revenue</u>
Expected Sales = (5000 × $75) =$375000
Margin of Safety = $375000 × 67% = $251250
Answer:
The expected value of the car you will buy is $22,000
Explanation:
In the given question, the car values are symmetrically distributed which means that we have to compute the mean between the values that are mentioned in the question.
So, the mean is an average of the numbers, the computation is shown below:
= (Value 1 + value 2) ÷ (number of observations)
= ($20,000 + $24,000) ÷ 2
= $22,000
Answer:
$44
Explanation:
Given that
Direct material cost = $17
Direct labor cost = $10
Variable manufacturing overhead = $17
The computation of unit product cost using variable costing is shown below:-
Unit product cost = Direct material cost + Direct labor cost + Variable manufacturing overhead
= $17 per unit + $10 per unit + $17 per unit
= $44
Therefore for computing the unit product cost we simply added the direct material cost, direct labor cost and variable manufacturing overhead.
