Question

Daryl Corporation reports costs for the year as​ follows:Direct Materials Used$555,000Wages to Line Workers125,000Office Rent46,500Indirect Materials Used595,000How much is the total product costs for the​ year?

Answer 1

The total product costs for the​ year is $13,215,000

Step-by-step explanation:

The computation of the total product cost is shown below:

= Direct material used + wages to line workers + Office Rent + indirect Materials Used

= $555,000 + $125,000 $46,500 + $595,000

=$13,215,000

The Office Rent + indirect Materials Used is called manufacturing overhead cost.

All these costs which are mentioned in the question are product cost.