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Use the Following Data to Compute Total Factory Overhead Costs

question 191

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Use the following data to compute total factory overhead costs for the month:  Sales commissions $10,800 Direct labor 39,600 Indirect materials 15,200 Factory manager salaries 7,200 Factory supplies 9,000 Indirect labor 6,300 Depreciation-office equipment 5,000 Direct materials 40,500 Corporate office salaries 42,500 Depreciation-factory equipment 7,500\begin{array}{lr}\text { Sales commissions } & \$ 10,800 \\\text { Direct labor } & 39,600 \\\text { Indirect materials } & 15,200 \\\text { Factory manager salaries } & 7,200 \\\text { Factory supplies } & 9,000 \\\text { Indirect labor } & 6,300 \\\text { Depreciation-office equipment } & 5,000 \\\text { Direct materials } & 40,500 \\\text { Corporate office salaries } & 42,500 \\\text { Depreciation-factory equipment } & 7,500\end{array}


Definitions:

Inefficiently

A descriptor for processes or activities that do not use resources in the best possible way, resulting in wasted effort or energy and not achieving maximum productivity.

Economic Growth

Economic growth refers to an increase in the productive capacity of an economy, evidenced by a rise in national income, goods, and services over a period of time.

Technology Advances

The progression and innovation in technology that improve efficiency, productivity, and the quality of life.

Additional Resources

Resources available in addition to those already being used or allocated, often referring to economic or educational assets.

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