If the Total Warehousing Cost for the Year Amounts to $450,000

question 60

Multiple Choice

If the total warehousing cost for the year amounts to $450,000, and 40 percent of the warehousing activity is associated with finished goods and 60 percent with direct materials, how much of the cost would be charged as a product cost?

• A) $90,000
• B) $180,000
• C) $270,000
• D) $450,000

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