Rustic Living Furniture Company manufactures furniture at its central Kentucky factory. Some of its costs from the past year include:Wages paid to factory maintenance workers$60,000Fabric used to upholster furniture$80,800Wages paid to assemblyminus-line workers$100,100Lumber used to build product$15,200Sales commissions$7,300Insurance costs for factory$21,800Freightminus-in (on raw materials) $3,200Utilities in factory$12,500Factory supervisor salary$60,100Depreciation on factory equipment$18,300Utilities in sales office$26,800Costs of delivery to customers$8,500Depreciation on sales office$1,800Lubricants used in factory equipment$200Manufacturing overhead costs for Rustic Living Furniture Company totaled

Manufacturing overhead = $172,900

Explanation:

Giving the following information:

Wages paid to factory maintenance workers $60,000: MOH

Fabric used to upholster furniture $80,800: DM

Wages paid to assembly line workers $100,100: DL

Lumber used to build product $15,200: DM

Sales commissions $7,300: Period

Insurance costs for factory $21,800: MOH

Freight in (on raw materials) $3,200: DM

Utilities in factory $12,500: MOH

Factory supervisor salary $60,100: MOH

Depreciation on factory equipment $18,300: MOH

Utilities in sales office $26,800: Period

Costs of delivery to customers $8,500: Period

Depreciation on sales office $1,800: Period

Lubricants used in factory equipment $200: MOH

First, we will categorize each cost in Direct material, direct labor, manufacturing overhead and period cost.

Manufacturing overhead = Wages paid to factory maintenance workers + Insurance costs for factory + Utilities in factory + Factory supervisor salary + Depreciation on factory equipment + Lubricants used in factory equipment

Manufacturing overhead = 60000 + 21800 + 12500 + 60100 + 18300 + 200 = $172,900