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The Costs Listed Below Are Related to a Manufacturer of All-Natural

question 129

Essay

The costs listed below are related to a manufacturer of all-natural ice cream. In the space provided, indicate whether the cost should be classified as direct materials (DM), direct labor (DL), or overhead (OH).
_____
a. Maintenance on factory building
_____
b. Cream
_____
c. Mixing department wages
_____
d. Vanilla
_____
e. Factory supervisor's salary
_____
_____ f. Machine oil for mixing machines
_____ g. Sugar
_____ h. Machine operator wages
_____ i. Factory maintenance labor
_____ j. Depreciation on factory equipment


Definitions:

Labor relations

The field that studies and manages the relationships between employers and their employees, particularly when employees are represented by a union.

Economic conditions

The state of an economy at a given time, including factors like inflation, employment rates, and GDP growth that influence business and labor markets.

Susceptible

Being likely to be influenced or harmed by a particular thing or condition.

Collective bargaining

The process where representatives of workers and employers negotiate over wages, working conditions, and other employment terms.

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