Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Ryan Corporation incurred the following costs while manufacturing its product. M

ID: 2506853 • Letter: R

Question

Ryan Corporation incurred the following costs while manufacturing its product.

Materials used in product
$100,000
Advertising expense
$45,000 Depreciation on plant
60,000
Property taxes on plant
14,000 Property taxes on store
7,500
Delivery expense
21,000 Labor costs of assembly-line workers
110,000
Sales commissions
35,000 Factory supplies used
13,000
Salaries paid to sales clerks
50,000 Ryan Corporation incurred the following costs while manufacturing its product. Identify each of the above costs as direct materials, direct labor, manufacturing overhead, or period costs.

Explanation / Answer

Materials used in product Direct Material Depreciation on plant Mfg. Overhead Property taxes on store Period cost Labor costs of assembly-line workers Direct Labour Factory supplies used Mfg. Overhead Advertising expense Period cost Property taxes on plant Period cost Delivery expense Period cost Sales commissions Period cost Salaries paid to sales clerks Period cost