Question: Amazon.com Inc. operates distribution centers using operating costing. In July 2035, the company incurs $20,000,000 in direct costs and $10,000,000 in indirect costs related to

Amazon.com Inc. operates distribution centers using operating costing. In July 2035, the company incurs $20,000,000 in direct costs and $10,000,000 in indirect costs related to distribution.

Required:

  • Classify each cost as direct or indirect.
  • Calculate the total operating costs.

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