Classifying Costs The following report was prepared for evaluating the performance of the plant manager of Second Hand Inc. Evaluate and correct this report. Second Hand Inc. Manufacturing Costs For the Quarter Ended June 30, 2016 Materials used in production (including $65,800 of indirect materials) $710,400 Direct labor (including $98,700 maintenance salaries) 657,800 Factory overhead: Supervisor salaries 605,200 Heat, light, and power 164,500 Sales salaries 407,800 Promotional expenses 368,400 Insurance and property taxesplant 177,600 Insurance and property taxescorporate offices 256,500 Depreciationplant and equipment 144,700 Depreciationcorporate offices 105,200 Total $3,598,100 Second Hand Inc. Manufacturing Costs For the Quarter Ended June 30, 2016 Cost of direct materials used in production $ 644,600 Direct labor 559,100 Factory overhead: Maintenance salaries $ 98,700 Indirect materials Supervisor salaries 605,200 Heat, light, and power 164,500 Insurance and property taxes-plant 177,600 Depreciation-plant and equipment 144,700 Total