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What is the total product cost for an item? It costs 11.15 to produce this includes packaging. Below are the important numbers for this company. The product will sell for $15.75. They will sell 100,000 with no left over inventory.
Account Name
Annual Amount
Office Supplies
$500
Factory Utilities
$2400
Sales Commissions
$40000
Factory Equipment Depreciation
Factory Rent
$5000
Advertising
$12000
Factory Manager's Salary
$35000*
Indirect Labor
$35000
Office Utilities
$600
Factory Insurance
$3600
Office Maintenance (Annual Contract)
$200
Sales Salaries
$60000*
Office Equipment Depreciation
$1200
Indirect Materials
Freight-Out
$200000
Factory Equipment Repairs (based on expected quarterly service calls)
$
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Detailed audit procedure:Select a sample of sale from the sale journal
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