The following cost data for the month of May were taken from the records of the Terrence Manufacturing Company: (CIA adapted) Depreciation on factory equipment $ 1,000 Depreciation on sales office 500 Advertising 7,000 Wages of production workers 28,000 Raw materials used 47,000 Sales salaries and commissions 10,000 Factory rent 2,000 Factory insurance 500 Materials handling 1,500 Administrative salaries 2,000 Based upon this information, the manufacturing cost incurred during the month was: $83,000. $80,000. $80,500. $78,500.
The following cost data for the month of May were taken from the records of the Terrence Manufacturing Company: (CIA adapted) Depreciation on factory equipment $ 1,000 Depreciation on sales office 500 Advertising 7,000 Wages of production workers 28,000 Raw materials used 47,000 Sales salaries and commissions 10,000 Factory rent 2,000 Factory insurance 500 Materials handling 1,500 Administrative salaries 2,000 Based upon this information, the manufacturing cost incurred during the month was: $83,000. $80,000. $80,500. $78,500.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
The following cost data for the month of May were taken from the records of the Terrence Manufacturing Company: (CIA adapted)
Based upon this information, the manufacturing cost incurred during the month was:
| $ | 1,000 | ||
| Depreciation on sales office | 500 | ||
| Advertising | 7,000 | ||
| Wages of production workers | 28,000 | ||
| Raw materials used | 47,000 | ||
| Sales salaries and commissions | 10,000 | ||
| Factory rent | 2,000 | ||
| Factory insurance | 500 | ||
| Materials handling | 1,500 | ||
| Administrative salaries | 2,000 |
|
$83,000.
|
||
|
$80,000.
|
||
|
$80,500.
|
||
|
$78,500.
|
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