Indicate whether each of the following costs of an automobile manufacturer would be classified as direct materials cost, direct labor cost, or factory overhead cost:
a. Steering wheel
b. Salary of test driver
c. Depreciation of welding equipment
d. V8 automobile engine
e. Wages of assembly line worker
f. Steel used in body
g. Tires
h. Assembly machinery lubricants
Darshita Changed status to publish February 18, 2020
a. Steering wheel | Direct materials cost |
b. Salary of test driver | Factory overhead cost |
c. Depreciation of welding equipment | Factory overhead cost |
d. V8 automobile engine | Direct materials cost |
e. Wages of assembly line worker | Direct labor cost |
f. Steel used in body | Direct materials cost |
g. Tires | Direct materials cost |
h. Assembly machinery lubricants | Factory overhead cost |
Darshita Changed status to publish February 18, 2020