Waugh Products Company Has Three Cost Objects That It Uses

Essay

Waugh Products Company has three cost objects that it uses to accumulate costs for its manufacturing
plants. They are:
Cost object #1: The physical buildings and equipment
Cost object #2: The use of buildings and equipment
Cost object #3: The availability and use of manufacturing labour
The following manufacturing overhead cost categories are found in the accounting records:
a.Depreciation on buildings and equipment
b.Lubricants for machines
c.Property insurance
d.Supervisors' salaries
e.Fringe benefits
f.Property taxes
g.Utilities
Required:
Assign each of the above costs to the most appropriate cost object.
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