Listed Below Are a Number of Common Manufacturing Costs

question 130

Essay

Listed below are a number of common manufacturing costs. For each cost, state whether the cost would be considered a direct (D) or indirect (I) cost in a traditional manufacturing environment and in a JIT manufacturing environment.
$\begin{array}{|l|c|c|}\hline \text { Cost Element } & \begin{array}{l}\text { Traditional Manufacturing } \\\text { Envirounent }\end{array} & \begin{array}{|l}\text { JTT } \\\text { Manufacturing Environument }\end{array} \\\hline \text { Insurance } & & \\\hline \text { Property taxes: } & & \\\hline \text { Equipment depreciation } & & \\\hline \text { Raw materials } & & \\\hline \text { Materials handling } & & \\\hline \text { Operating supplies } & & \\\hline \text { Power } & & \\\hline \text { Heat and light } & & \\\hline \text { Labor of equipment operators } & & \\\hline \text { President's salary } & & \\\hline\end{array}$