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26 July, 17:42

Tentacle Television Antenna Company provided the following manufacturing costs for the month of June.

Direct labor cost $ 132,000

Direct materials cost 87,000

Equipment depreciation (straightminus line) 22,000

Factory insurance 14,000

Factory manager's salary 10,400

Janitor's salary 4,000

Packaging costs 19,800

Property taxes 15,000

From the above information, calculate Tentacle's total fixed costs.

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  1. 26 July, 21:20
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    Answer: Tentacle's total fixed costs are: $65400.

    Explanation: The fixed components of the information provided by Tentacle Television Antenna Company are:

    -Janitor's salary $4000

    -Property taxes $15000

    -Equipment depreciation (straight-line) $22000

    -Factory insurance $14000

    -Factory manager's salary $10400

    So: 4000 + 15000 + 22000 + 14000 + 10400 = $65400.
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