Loring Company incurred the following costs last year: Direct materials $ 216,000 Sales salaries $ 65,000 Advertising Depreciation on the headquarters building Salary of the corporate receptionist Other administrative costs Factory rent 24,000 37,000 Direct labor 120,000 Factory utilities Supervision in the factory Indirect labor in the factory Depreciation on factory equipment 6,300 10,000 50,000 30,000 30,000 175,000 9,000 Salary of the factory receptionist 28,000 Sales commissions 27,000 Required: 1. Classify each of the costs using the following table format. Be sure to total the amounts in each column. Example: Direct materials, $216,000.

Loring Company incurred the following costs last year: Direct materials $ 216,000 Sales salaries $ 65,000 Advertising Depreciation on the headquarters building Salary of the corporate receptionist Other administrative costs Factory rent 24,000 37,000 Direct labor 120,000 Factory utilities Supervision in the factory Indirect labor in the factory Depreciation on factory equipment 6,300 10,000 50,000 30,000 30,000 175,000 9,000 Salary of the factory receptionist 28,000 Sales commissions 27,000 Required: 1. Classify each of the costs using the following table format. Be sure to total the amounts in each column. Example: Direct materials, $216,000.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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