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maw [93]
3 years ago
13

The PC Works assembles custom computers from components supplied by various manufacturers. The company is very small and its ass

embly shop and retail sales store are housed in a single facility in a Redmond, Washington, industrial park. Listed below are some of the costs that are incurred at the company. Required: For each cost, indicate whether it would most likely be classified as direct materials, direct labor, manufacturing overhead, selling, or an administrative cost.The cost of a hard drive installed in a computer. a. Direct labor cost b. Direct materials cost c. Manufacturing overhead cost d. Selling cost e. Administrative cost
Business
1 answer:
maw [93]3 years ago
5 0

Answer: b. Direct materials cost

Explanation:

Direct materials are integral to the production of a good because they form part of the good being produced.

This is a computer company which assembles computers. Computers need a hard drive in order to function. The hard drive being installed in a computer will therefore count as a direct material because it will form part of the computer assembled.

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