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10 April, 16:16

Which of the following is an example of a factory overhead cost? a. factory heating and lighting cost b. president's salary c. repair and maintenance cost on the administrative building d. insurance premiums on salespersons' automobiles

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  1. 10 April, 18:19
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    a. factory heating and lighting cost

    Explanation:

    To be considered factory ovehread besides, there must be a certain relathionship between the cost object and the cost.

    For manufacturing overhead we will include all direct cost which aren't already direct when considering the unit as object cost.

    Hece, all factory related cost will be considered part of overhead.
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