A partial listing of costs incurred at Pegg Corporation during September appears below:

Administrative salaries $83,000

Advertising: $154,000

Depreciation (factory equipment): $31,000

Depreciation (sales equipment): $44,000

Direct Labor: $81,000

Direct Materials: $199,000

Indirect Labor: $29,000

Sales Commissions: $37,000

Utilities (factory): $11,000

1. Questions
2. What is Pegg Corporation’s total manufacturing overhead costs for September?
3. Assume Pegg corporation’s total manufacturing overhead costs for September is $85,000 (i.e., use this value of total manufacturing overhead costs). What is Pegg corporation’s total product cost for September?
4. What is Pegg Corporation’s prime cost for September?

Answer rating: 100% (QA)

1 To calculate Pegg Corporations total manufacturing overhead costs for September we n... View the full answer