he Multicolors Company had the following costs for 2021: Raw materials                                P 2,100,000 Direct labor                                             300,000 Miscellaneous FOH (fixed)                   240,000 Depreciation of machines                    120,000 Rent for factory building                       150,000 Rent for sales office                                 90,000 Depreciation on store equipment         60,000  How much of these costs should be considered product/manufacturing costs to be inventoried under variable Costing?   Group of answer choices P 2,550,000 P 2,490,000 P 2,400,000 P 2,280,000

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 2CMA
icon
Related questions
Question
  • The Multicolors Company had the following costs for 2021:

Raw materials                                P 2,100,000

Direct labor                                             300,000

Miscellaneous FOH (fixed)                   240,000

Depreciation of machines                    120,000

Rent for factory building                       150,000

Rent for sales office                                 90,000

Depreciation on store equipment         60,000

 How much of these costs should be considered product/manufacturing costs to be inventoried under variable Costing?

 

Group of answer choices
P 2,550,000
P 2,490,000
P 2,400,000
P 2,280,000
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning