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Trak Corporation incurred the following costs while manufacturing its bicycles.
Bicycle components
$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
(a)
Identify each of the above costs as direct materials, direct labor, manufacturing overhead, or period costs.
Bicycle components
Trak Corporation incurred the following costs whil Direct LaborPeriod CostsDirect MaterialsManufacturing Overhead
Depreciation on plant
Trak Corporation incurred the following costs whil Direct MaterialsPeriod CostsManufacturing OverheadDirect Labor
Property taxes on store
Trak Corporation incurred the following costs whil Direct MaterialsManufacturing OverheadPeriod CostsDirect Labor
Labor costs of assembly-line workers
Trak Corporation incurred the following costs whil Direct MaterialsManufacturing OverheadDirect LaborPeriod Costs
Factory supplies used
Trak Corporation incurred the following costs whil Period CostsManufacturing OverheadDirect MaterialsDirect Labor
Advertising expense
Trak Corporation incurred the following costs whil Manufacturing OverheadDirect LaborPeriod CostsDirect Materials
Property taxes on plant
Trak Corporation incurred the following costs whil Manufacturing OverheadDirect LaborPeriod CostsDirect Materials
Delivery expense
Trak Corporation incurred the following costs whil Direct MaterialsPeriod CostsManufacturing OverheadDirect Labor
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