Answer:
Factory Overheads $182,420
Manufacturing overhead $ 396,820
Product costs $396,820
Period costs $ 75,720
Explanation:
Bonita Company
Direct materials used 141,700
Direct labor $72,700
Factory Overheads $182,420
Factory utilities $16,000
Depreciation on factory equipment 14,250
Property taxes on factory building 2,600
Indirect factory labor 53,500
Indirect materials 85,000
Factory repairs 2,970
Factory manager’s salary 8,100
Manufacturing overhead $ 396,820
Product costs $396,820
Advertising 15,600
Office supplies used 3,420
Sales salaries 50,000
Depreciation on delivery trucks 4,900
Repairs to office equipment 1,800
Period costs $ 75,720
Manufacturing Costs are costs used in the manufacture of products.
Product Costs = Direct materials + Direct Labor + Manufacturing Overheads
Period Costs include Marketing and Selling Expenses , Administrative Expenses.
