Gala Company is a manufacturer of laptop computers. Various costs and expenses associated with its operations are as follows. The company intends to classify these costs and expenses into the following categories: (a) direct materials, (b) direct labor, (c) manufacturing overhead, and (d) period costs. For each item, indicate the cost category to which it belongs. (A,B,C, or D)     Item   Category 1.   Property taxes on the factory building.   select the cost category   2.   Production superintendents’ salaries.   select the cost category   3.   Memory boards and chips used in assembling computers.   select the cost category   4.   Depreciation on the factory equipment.   select the cost category   5.   Salaries for assembly-line quality control inspectors.   select the cost category   6.   Sales commissions paid to sell laptop computers.   select the cost category   7.   Electrical components used in assembling computers.   select the cost category   8.   Wages of workers assembling laptop computers.   select the cost category   9.   Soldering materials used on factory assembly lines.   select the cost category   10.   Salaries for the night security guards for the factory building.   select the cost category

Which of the following costs is best classified as a fixed cost with respect to volume of activity? (See your Chapter 20 notes, page 5)  Direct labor Electricity used to heat, light, and cool a factory Cleaning supplies used in an automobile assembly plant Straight-line depreciation expense of a machine used in a factory Total cost of salaries paid to quality inspectors in a manufacturing plant Tires used in an automobile manufacturing plant

The following figure depicts the complete system that Office Inc. uses to estimate the total cost of each office desk and office chair that it produces. How many cost pools does Office Inc.'s 2-stage costing system use for Office Chair objects?    A. 7 B. 0 C. 6 D. 5 E. 4 F. 2 G. 1 H. 3 I. 8

Which of the following statements is true of raw materials? ) a) They are categorized as consumer products. b) They are the goods and services that hold little interest for consumers. (c) Thev include products used in producing other products. © d) Thev are large capital purchases designed for a long productive life.