The Following Cost Data Pertain to the Operations of Quinonez

question 128

Multiple Choice

The following cost data pertain to the operations of Quinonez Department Stores, Inc., for the month of September. The Northridge Store is just one of many stores owned and operated by the company. The Cosmetics Department is one of many departments at the Northridge Store. The central warehouse serves all of the company's stores.
What is the total amount of the costs listed above that are NOT direct costs of the Northridge Store?

• A) $152,000
• B) $33,000
• C) $45,000
• D) $77,000

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Definitions:

Motorcycles

Two-wheeled vehicles powered by an engine, designed for individual or small number passenger transport.

Opportunity Cost

The value of the next best alternative foregone as the result of making a decision.

Sailboats

Sailboats are vessels propelled partly or entirely by sails and are used for navigation, racing, or recreation.

Surfboards

Sporting equipment used in the sport of surfing, designed to ride waves by standing or lying on them.