hiture, including tables. Selected costs are given below: 1. The salary of the CEO of the company is $250,000 per year. 2. Instead of producing the tables, the company could rent its factory space for $85,000 per year. 3. Salespeople are paid a commission of $23 for each table sold. 4. The depreciation on the machines used to make the tables totals $38,000 per year. The machines have no resale value and do not wear out through use. 5. The tables are made of iron that costs $250 per table. 6. The production line- on which workers are assembling the tables - is supervised by a production- manager who is paid $67,000 per year. 7. Four machine-hours are required to produce a table. Utility costs are $8 per machine-hour. 8. Wages are paid to workers that assemble tables. The cost of wages is $55 per table. 9. The advertising expense of the year is $180,000 per year. It covers all the company's products. e company produced 100 tables and sold 80 during the month. at's the amount of Product Costs ?

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Chapter10: Short-term Decision Making
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4) TablMor Inc. Company manufactures furniture, including tables. Selected costs are given below:
1. The salary of the CEO of the company is $250,000 per year.
2. Instead of producing the tables, the company could rent its factory space for $85,000 per year.
3. Salespeople are paid a commission of $23 for each table sold.
4. The depreciation on the machines used to make the tables totals $38,000 per year. The machines
have no resale value and do not wear out through use.
5. The tables are made of iron that costs $250 per table.
6. The production line - on which workers are assembling the tables - is supervised by a production-
manager who is paid $67,000 per year.
7. Four machine-hours are required to produce a table, Utility costs are $8 per machine-hour.
8. Wages are paid to workers that assemble tables. The cost of wages is $55 per table.
9. The advertising expense of the year is $180,000 per year. It covers all the company's products.
The company produced 100 tables and sold 80 during the month.
What's the amount of Product Costs ?
O 25.000,00
85.000,00
155.200,00
108.200,00
535.000,00
O 38,000,00
52.040,00
22.000,00
431.840,00
Transcribed Image Text:4) TablMor Inc. Company manufactures furniture, including tables. Selected costs are given below: 1. The salary of the CEO of the company is $250,000 per year. 2. Instead of producing the tables, the company could rent its factory space for $85,000 per year. 3. Salespeople are paid a commission of $23 for each table sold. 4. The depreciation on the machines used to make the tables totals $38,000 per year. The machines have no resale value and do not wear out through use. 5. The tables are made of iron that costs $250 per table. 6. The production line - on which workers are assembling the tables - is supervised by a production- manager who is paid $67,000 per year. 7. Four machine-hours are required to produce a table, Utility costs are $8 per machine-hour. 8. Wages are paid to workers that assemble tables. The cost of wages is $55 per table. 9. The advertising expense of the year is $180,000 per year. It covers all the company's products. The company produced 100 tables and sold 80 during the month. What's the amount of Product Costs ? O 25.000,00 85.000,00 155.200,00 108.200,00 535.000,00 O 38,000,00 52.040,00 22.000,00 431.840,00
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