The following calendar year-end information is taken from
the December 31, 2017, adjusted trial balance and other records of Leone
Company.
Advertising expense $
28,750
Depreciation expense—Office equipment 7,250
Depreciation expense—Selling equipment 8,600
Depreciation expense—Factory equipment 33,550
Factory supervision 102,600
Factory supplies used 7,350
Factory utilities 33,000
Direct labor 675,480
Indirect labor 56,875
Miscellaneous production costs 8,425
Office salaries expense 63,000
Raw materials purchases 925,000
Rent expense—Office space 22,000
Rent expense—Selling space 26,100
Rent expense—Factory building 76,800
Maintenance expense—Factory equipment 35,400
Sales 4,462,500
Sales salaries expense 392,560
Required:
Classify each of the costs as either a product or period
cost. Then, classify each of the product costs as either direct materials,
direct labor, or factory overhead and each of the period costs as either
selling or general and administrative expenses.
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