The B&T Company's production costs for May are: direct labor, $14,000; indirect labor, $6,600; direct materials, $15,100; property taxes on production facility, $810; factory heat, lights and power, $1,010; and insurance on plant and equipment, $210. B&T Company's factory overhead incurred for May is:

Question

Walter Walter

Business

9 June, 08:15

The B&T Company's production costs for May are: direct labor, $14,000; indirect labor, $6,600; direct materials, $15,100; property taxes on production facility, $810; factory heat, lights and power, $1,010; and insurance on plant and equipment, $210. B&T Company's factory overhead incurred for May is:

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Answers (1)

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Keegan Nicholson · Answer 1

B&T Company's factory overhead incurred for May is $8,630.

Explanation:

Overhead cost are those cost which is not directly attributable to any product or service or department. All the indirect expenses are classified as overhead of the company e. g. rent, advertising, insurance, interest, legal fees, labor burden, repairs, accounting fees, taxes, utilities, telephone bills, travel expenditures and supplies.

Factory Overheads

Indirect labor $6,600

Property taxes on production facility $810

Factory heat, lights and power $1,010

Insurance on plant and equipment $210

Total Overhead cost $8,630