Which one of the following costs would be included in manufacturing overhead of a lawn mower manufacturer?
A)The cost of the wheels
B)The cost of the fuel lines that run from the motor to the gas tank
C)Depreciation on the testing equipment
D)The wages earned by motor assemblers

Question

Quizplus · Accepted Answer

Manufacturing overhead includes indirect costs related to the production process such as depreciation on equipment, factory rent, and utilities. Choices A, B, and D are direct costs or direct materials and labor, which are not part of manufacturing overhead.

Which One of the Following Costs Would Be Included in Manufacturing