Question

Classify the following costs at a car manufacturer as a) product or period and b) direct materials (DM), direct labor (DL), manufacturing overhead (MOH), or selling or general and administrative expense (G&A). D M or D Lor If MOH What Selling Expense or Windshield Engine Wages of assembly line worker Depreciation of factory machines Factory machinery lubricants Steering wheel Salary painting supervisor Salary of company president Rent on office building Utilities on factory building Factory safety manager Janitorial wages on factory Salary of chief accountant ("Controller) Dog food for factory guard dog

Answer 1

Answer:-

Particulars	Product/Period	DM/DL/MOH	MOH Type	Selling Expense or G&A
Windshield	Product	Direct Material Cost	N/A	N/A
Engines	Product	Direct Material Cost	N/A	N/A
Wages of Assembly line workers	Product	Direct Labour Cost	N/A	N/A
Depreciation of Factory Machines	Product	MOH	Depreciation	N/A
Factroy Machinery lubricants	Product	MOH	Indirect FACTORY Expenses	N/A
Tires	Product	Direct Material Cost	N/A	N/A
Advertising costs	Period	N/A	N/A	Selling Expense
Steering wheel	Product	Direct Material Cost	N/A	N/A
Salary painting supervisor	Product	MOH	Indirect Salary/Wages	N/A	Assumed as painting of cars
Salary of company president	Period	N/A	N/A	General and Adiminstration
Rent of office building	Period	N/a	N/A	General and Adiminstration
Utilities on factory building	Product	MOH	Indirect FACTORY Expenses	N/A
Factory safety manager	Product	MOH	Indirect Salary/Wages	N/A
Finished product delivery	Period	N/A	N/A	Selling Expense
Janitorial wages on factory	Product	MOH	Indirect Salary/Wages	N/A
Salary of chief accountant	Period	N/A	N/A	General and Adiminstration
Dog food for factory guard dog	Product	MOH	Indirect FACTORY Expenses	N/A