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Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac
Edition 26ISBN: 978-1337498159Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac
Edition 26ISBN: 978-1337498159 Exercise 17
Classifying costs as materials, labor, or factory overhead
Indicate whether each of the following costs of an automobile manufacturer would be classified as direct materials cost, direct labor cost, or factory overhead cost:
a. Depreciation of robotic assembly line equipment
b. V8 automobile engine
c. Steering wheel
d. Wheels
e. Painting safety masks for employees working in the paint room
f. Salary of test driver
g. Glass used in the vehicle's windshield
h. Wages of assembly line worker
Indicate whether each of the following costs of an automobile manufacturer would be classified as direct materials cost, direct labor cost, or factory overhead cost:
a. Depreciation of robotic assembly line equipment
b. V8 automobile engine
c. Steering wheel
d. Wheels
e. Painting safety masks for employees working in the paint room
f. Salary of test driver
g. Glass used in the vehicle's windshield
h. Wages of assembly line worker
Explanation
Verified
Verified
Direct Cost is that cost which is direct...
Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac
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