Question

A partial listing of costs incurred during December at Rooks Corporation appears below: Factory supplies $ 13,000 Administrative wages and salaries $ 110,000 Direct materials $ 158,000 Sales staff salaries $ 73,000 Factory depreciation $ 54,000 Corporate headquarters building rent $ 39,000 Indirect labor $ 37,000 Marketing $ 108,000 Direct labor $ 88,000 The total of the period costs listed above for December is:

Answer 1

The period cost is $330,000

Step-by-step explanation:

The computation of the period cost is shown below:

Period Costs is

= Administrative wages and salaries + Sales staff salaries + Corporate headquarters building rent + Marketing

= $110,000 + $73,000 + $39,000 + $108,000

= $330,000

Hence, the period cost is $330,000

We simply added the above three cost to determine the period cost