Loring Company incurred the following costs last year: Costs Amounts Direct materials $211,000 Factory rent 21,000 Direct labor 120,000 Factory utilities 6,300 Supervision in the factory 55,000 Indirect labor in the factory 38,000 Depreciation on factory equipment 8,500 Sales commissions 33,000 Sales salaries 72,000 Advertising 35,000 Depreciation on the headquarters building 10,200 Salary of the corporate receptionist 27,000 Other administrative costs 183,000 Salary of the factory receptionist 29,000 What was the total product cost for last year?
Loring Company incurred the following costs last year: Costs Amounts Direct materials $211,000 Factory rent 21,000 Direct labor 120,000 Factory utilities 6,300 Supervision in the factory 55,000 Indirect labor in the factory 38,000 Depreciation on factory equipment 8,500 Sales commissions 33,000 Sales salaries 72,000 Advertising 35,000 Depreciation on the headquarters building 10,200 Salary of the corporate receptionist 27,000 Other administrative costs 183,000 Salary of the factory receptionist 29,000 What was the total product cost for last year?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Loring Company incurred the following costs last year:
Costs Amounts
Direct materials $211,000
Factory rent 21,000
Direct labor 120,000
Factory utilities 6,300
Supervision in the factory 55,000
Indirect labor in the factory 38,000
Sales commissions 33,000
Sales salaries 72,000
Advertising 35,000
Depreciation on the headquarters building 10,200
Salary of the corporate receptionist 27,000
Other administrative costs 183,000
Salary of the factory receptionist 29,000
What was the total product cost for last year?
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