Classifying Costs

The following report was prepared for evaluating the performance of the plant manager of Marching Ants Inc. Evaluate and correct this report.

Marching Ants Inc.

Manufacturing Costs

For the Quarter Ended June 30

Materials used in production (including

$50,600 of indirect materials) $546,500

Direct labor (including $75,900 maintenance salaries) 506,000

Factory overhead:

Supervisor salaries 465,500

Heat, light, and power 126,500 Sales salaries 313,700

Promotional expenses 283,400

Insurance and property taxesplant 136,600

Insurance and property taxescorporate offices 197,300

Depreciationplant and equipment 111,300

Depreciationcorporate offices 81,000

Total $2,767,800

Marching Ants Inc.

Manufacturing Costs For the Quarter Ended June 30 Cost of direct materials used in production $Cost of direct materials used in production Direct labor Direct labor Factory overhead: Maintenance salaries $Maintenance salaries Indirect materials Indirect materials Supervisor salaries Supervisor salaries Heat, light, and power Heat, light, and power Insurance and property taxes-plant Insurance and property taxes-plant Depreciation-plant and equipment Depreciation-plant and equipment Depreciation-plant and equipment Total manufacturing costs incurred