Business, 22.06.2021 01:00 carrietaylor234

The accounting records of Diego Company revealed the following costs, among others: Factory insurance $32,000
Raw material used $256,000
Customer entertainment $15,000
Indirect labor $45,000
Depreciation on salespersons' cars $22,000
Production equipment rental costs $72,000
Costs that would be considered in the calculation of manufacturing overhead total:
A. $149,000.
B. $171,000.
C. $186,000.
D. $442,000.
E. some other amount.

Answers: 3

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Answer from: potatogirl6811

Option A ($149,000) is the correct alternative.

Explanation:

Given:

Factory insurance,

= $32,000

Indirect labor,

= $45,000

Production equipment rental costs,

= $72,000

Now,

The total manufacturing costs will be:

= $Factory \ insurance+Indirect \ labor+Production \ equipment \ rental \ costs$

By putting the given values, we get

= 32000+45000+72000

= 149,000 ($)

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The accounting records of Diego Company revealed the following costs, among others: Factory insuran...

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