Advertising Costs $ 12 comma 000 Indirect Labor 7 comma 000 CEO's Salary 460 comma 000 Direct Labor 54 comma 000 Indirect Materials Used 7 comma 500 Direct Materials Used 540 comma 000 Factory Utilities 840 Factory Janitorial Costs 1 comma 700 Manufacturing Equipment Depreciation 2 comma 200 Delivery Vehicle Depreciation 1 comma 230 Administrative Wages and Salaries 36 comma 900 How much were Durand's period costs?

Question

Bucky

Business

19 August, 05:34

Advertising Costs $ 12 comma 000 Indirect Labor 7 comma 000 CEO's Salary 460 comma 000 Direct Labor 54 comma 000 Indirect Materials Used 7 comma 500 Direct Materials Used 540 comma 000 Factory Utilities 840 Factory Janitorial Costs 1 comma 700 Manufacturing Equipment Depreciation 2 comma 200 Delivery Vehicle Depreciation 1 comma 230 Administrative Wages and Salaries 36 comma 900 How much were Durand's period costs?

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Answers (1)

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Natasha Payne · Answer 1

Total Period Cost $ 510,130

Explanation:

Period cost are those wich are not capitalzied through inventory as they aren't involve in the manufacturing process.

Therefore, direct material, direct labor and factory overhead concepts are excluded.

Advertising Costs 12,000

CEO's Salary 460,000

Delivery Vehicle Depreciation 1,230

Administrative Wages and Salaries 36,900

Total Period Cost 510,130