Country Furniture Company manufactures furniture at itsAkron, Ohio, factory. Some of its costs from the past yearinclude:
| Depreciation on sales office |
$ 9,000 |
| Depreciation on factory equipment |
16,000 |
| Factory supervisor salary |
50,500 |
| Sales commissions |
23,000 |
| Lubricants used in factory equipment |
3,000 |
| Insurance costs for factory |
21,000 |
| Wages paid to factory maintenance workers |
115,000 |
| Fabric used to upholster furniture |
10,000 |
| Freightminus-in (on raw materials) |
3,000 |
| Costs of delivery to customers |
9,000 |
| Wages paid to assemblyminus-line workers |
155,500 |
| Lumber used to build product |
82,000 |
| Utilities in factory |
54,500 |
| Utilities in sales office |
26,500 |
Direct material costs for Country Furniture Company totaled