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lesya692 [45]
3 years ago
8

Classifying Costs as Materials, Labor, or Factory Overhead Indicate whether the following costs of Procter & Gamble (PG), a

maker of consumer products, would be classified as direct materials cost, direct labor cost, or factory overhead cost: Cost Classification a. Depreciation on assembly line equipment in the Mehoopany, Pennsylvania, paper products plant b. Licensing payments for use of Disney characters on children products c. Maintenance supplies d. Packaging materials e. Paper used in bath tissue f. Plant manager salary for the Iowa City, Iowa, plant g. Resins for body wash products h. Salary of process engineers i. Scents and fragrances used in making soaps and detergents j. Wages of production line employees at the Pineville, Louisiana, soap and detergent plant
Business
1 answer:
Brrunno [24]3 years ago
3 0

Answer:

Explanation:

The direct material cost is the cost which is incurred for the raw material

The direct labor cost is the cost which is incurred to pay the wages to assembly workers, the labor cost, etc

And, the factory overhead cost is the indirect cost which is required at the time of producing the product. Example - depreciation, repairs & maintenance, etc

So, the categorization is shown below:

a. Depreciation on assembly line equipment in the Mehoopany, Pennsylvania, paper products plant = factory overhead cost

b. Licensing payments for use of Disney characters on children products = factory overhead cost

c. Maintenance supplies = factory overhead cost

d. Packaging materials = direct material cost

e. Paper used in bath tissue  = direct material cost

f. Plant manager salary for the Iowa City, Iowa, plant = factory overhead cost

g. Resins for body wash products =  direct material cost

h. Salary of process engineers =  factory overhead cost

i. Scents and fragrances used in making soaps and detergents  = direct material cost

j. Wages of production line employees at the Pineville, Louisiana, soap and detergent plant = direct labor cost

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The Converting Department of Hopkinsville Company had 1,200 units in work in process at the beginning of the period, which were
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Answer:

Equivalent Units

<em>Material cost = </em>26,560

<em>Conversion Cost= </em>25,540

Explanation:

We would assume the company uses  weighted average method of valuation.

Under the weighted average method of valuation, to account for completed units, it is assumed that the entire degree of work required is done in the period under consideration. So there is no separation of the completed units into opening inventory and fully worked.

Equivalent units = Degree of completion (%) × Number of units

<em>Material cost</em>

Item                                 Unit                                  Equivalent unit

Completed                    25,200      100% ×25200  = 25,200

Closing WIP                   1,360           100%× 1,360     <u>   1360 </u>

Total equivalent units                                                 <u>26,560 </u>

<em>Conversion Cost</em>

Item                                 Unit                                  Equivalent unit

Completed                    25,200      100% ×25200  = 25,200

Closing WIP                   1,360           25%× 1,360        <u>340 </u>

Total equivalent units                                                  <u>25,540</u>

3 0
3 years ago
Emily, who lives in Indiana, volunteered to travel to Louisiana in March to work on a home-building project for
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Answer:

D) $2,200

Explanation:

The IRS does not allow individuals to deduct time spent as a volunteer from their gross income, volunteers can only deduct certain expenses related to the activity.

The only things that Emily can deduct for this charitable activity are transportation costs, lodging costs and meals:

Emily's deduction = $600 + $1,200 + $400 = $2,200

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Kalim developed a new food product that he was certain would be popular with consumers. He researched his target market and made
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Answer:

A

Explanation:

If he had conducted a focus group the prospective customers would have had the opportunity to explain to him why the price was to high prior to him launching the product.

7 0
3 years ago
Through a comparable company analysis for Alibaba, you determined a P/E ratio of 6.0x is appropriate to value the company. Based
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Answer:

$740,366

Explanation:

The computation of the enterprise value is given below:

P/E ratio = Market Capitalization ÷ Earnings

6 = Market Capitalization ÷ $149,680

Market Capitalization is

= 6 × $149,680

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Now,

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= $898,080 - $157,714

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If an agency's qualifying new business premium is ____ than the set minimum in a given month or quarter in the prior year, that
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Answer:

lower

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If the premium set is below the minimum threshold then agent baseline will be increased. This is because the commission of an agent is based on the percentage of the premium. If the premium amount is lower then the commission will also be lower resulting in the agent baseline to decrease.

7 0
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