Lettman Corporation Has Provided the Following Partial Listing of Costs

question 59

Essay

Lettman Corporation has provided the following partial listing of costs incurred during November: Required:
a. What is the total amount of product cost listed above? Show your work.
b. What is the total amount of period cost listed above? Show your work.

---

Definitions:

Direct Labor Variances

The differences between the budgeted and actual costs of direct labor used in production.

Direct Labor

The labor cost directly associated with the production of goods or services, including wages for workers who physically produce a product.

Fixed Overhead Budget Variance

The difference between the fixed overhead costs that were budgeted and the actual fixed overhead costs incurred.

Fixed Manufacturing Overhead

Costs that remain constant regardless of the level of production or sales volume, such as salaries of supervisors and rent for factory premises.