question archive Rustic Living Furniture Company manufactures furniture at its central Kentucky factory

Rustic Living Furniture Company manufactures furniture at its central Kentucky factory

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Rustic Living Furniture Company manufactures furniture at its central Kentucky factory. Some of its costs from the past year include:

Wages paid to maintenance workers                                                             $60,500

Fabric used to upholster furniture                                                                  $80,500

Wages paid to assembly — line workers                                                     $100,700

Lumber used to build product                                                                         $15,500

Sales commissions                                                                                               $7,100

Insurance costs for factory                                                                              $21,400

Freight - in (on raw materials)                                                                          $3,500

Utilities in factory                                                                                             $12,700

Factory supervisor salary                                                                                $60,800

Depreciation on factory equipment                                                             $18,900

Utilities in sales office                                                                                     $26,300

Costs of delivery to customers                                                                       $8,400

Depreciation on sales office                                                                           $1,700

Lubricants used in factory equipment                                                             $100

Product costs for Rustic Living Furniture Company totalled

A. 174,400.

B. $152,900.

C. $221,400.

D. $81,400.

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