Definitions of manufacturing concepts


Interstate Manufacturing produces brass fasteners and incurred the following costs for the year just ended:

Materials and supplies used

Brass                                                    $75,000

Repair parts                                         16,000

Machine lubricants                              9,000

Wages and salaries Machine operators             128,000

Production supervisors                                    64,000

Maintenance personnel                                    41,000

Other factory overhead Variable         35,000

Fixed                                                   46,000

Sales commissions                               20,000

Compute:

a. Total direct materials consumed

b. Total direct labor

c. Total prime cost

d. Total conversion cost

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Accounting Basics: Definitions of manufacturing concepts
Reference No:- TGS0519810

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