Question

Sobota Corporation has provided the following partial listing of costs incurred during August: Marketing salaries $ 51,600 Property taxes, factory $ 15,700 Administrative travel $ 104,400 Sales commissions $ 54,700 Indirect labor $ 42,300 Direct materials $ 168,800 Advertising $ 138,000 Depreciation of production equipment $ 41,200 Direct labor $ 90,900 Required: a. What is the total amount of product cost listed above

Answer 1

Product costs= $259,700

Step-by-step explanation:

Giving the following information:

Direct materials $ 168,800

Direct labor $ 90,900

The product costs are all expenses directly involved in the production. It generally involves the prime costs (direct material and direct labor).

Product costs= direct material + direct labor

Product costs= 168,800 + 90,900

Product costs= $259,700