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15-4f Exercises EX 15-1 Classifying Costs as Materials, Labor, or Factory Overhead Obj. 2 Indicate whether each of the follow
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Direct material will include the materials that are specifically identified with individual units. Direct labor will include the labor that are specifically identified with individual units. Factory overhead will include the cost of indirect material, indirect labor and indirect expenses.

Based upon the above statements, we can classify the given costs as below:

(a) Automobile engine: Direct material

(b) Brake pads: Direct material

(c) Depreciation of robotic assembly line equipment: Factory overhead

(d) Glass for windshields : Direct material

(e) Safety helmets and masks: Factory overhead

(f) Salary of quality control inspector: Factory overhead

(g) Steering wheel: Direct material

(h) Tires: Direct material

(i) Wages of assembly line workers: Direct labor.

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