Indicate whether the given items are direct materials, direct labor, factory overhead or selling and administrative expense.

Question

Classify the following items as Direct materials, Selling and administrative expense, Factory overhead, or Direct labor. a. Rent expense on factory building b. Sales supplies used c. Factory supplies used d. Indirect materials used e. Wages of assembly line personnel f. Cost of primary material used to make product g. Depreciation on office equipment h. Rent on office facilities i. Insurance expired on factory equipment j. Utilities incurred in the office k. Advertising expense

Answer 1

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Chapter 1, Problem 5E

To determine

Indicate whether the given items are direct materials, direct labor, factory overhead or selling and administrative expense.

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