The following cost data pertain to the operations of Bouffard Department Stores, Inc., for the month of May. Corporate legal office salaries $68,000 Shoe Department cost of sales-Brentwood Store $29,000 Corporate headquarters building lease $86,000 Store manager's salary-Brentwood Store $12,000 Shoe Department sales commissions-Brentwood Store $5,000 Store utilities-Brentwood Store $10,000 Shoe Department manager's salary-Brentwood Store $4,000 Central warehouse lease cost $7,000 Janitorial costs-Brentwood Store $10,000 The Brentwood Store is just one of many stores owned and operated by the company. The Shoe Department is one of many departments at the Brentwood Store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are direct costs of the Shoe Department? $38,000 $29,000 $70,000 $34,000

Question

Business

Camilla Daugherty

28 May, 17:35

The following cost data pertain to the operations of Bouffard Department Stores, Inc., for the month of May. Corporate legal office salaries $68,000 Shoe Department cost of sales-Brentwood Store $29,000 Corporate headquarters building lease $86,000 Store manager's salary-Brentwood Store $12,000 Shoe Department sales commissions-Brentwood Store $5,000 Store utilities-Brentwood Store $10,000 Shoe Department manager's salary-Brentwood Store $4,000 Central warehouse lease cost $7,000 Janitorial costs-Brentwood Store $10,000 The Brentwood Store is just one of many stores owned and operated by the company. The Shoe Department is one of many departments at the Brentwood Store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are direct costs of the Shoe Department? $38,000 $29,000 $70,000 $34,000

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Answers (1)

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Carlee Rasmussen · Answer 1

The correct answer is C: $70,000

Explanation:

Giving the following information:

Corporate legal office salaries $68,000

Shoe Department cost of sales-Brentwood Store $29,000

Corporate headquarters building lease $86,000

Store manager's salary-Brentwood Store $12,000

Shoe Department sales commissions-Brentwood Store $5,000

Store utilities-Brentwood Store $10,000

Shoe Department manager's salary-Brentwood Store $4,000

Central warehouse lease cost $7,000

Janitorial costs-Brentwood Store $10,000

The Brentwood Store is just one of many stores owned and operated by the company.

The Shoe Department is one of many departments at the Brentwood Store.

The central warehouse serves all of the company's stores.

Direct Costs of the shoe department:

Shoe Department cost of sales-Brentwood Store $29,000

Store manager's salary-Brentwood Store $12,000

Shoe Department sales commissions-Brentwood Store $5,000

Store utilities-Brentwood Store $10,000

Shoe Department manager's salary-Brentwood Store $4,000

Janitorial costs-Brentwood Store $10,000

Total = $70,000