National Express reports the following costs and expenses in
June 2020 for its delivery service.
Indirect materials | $ 6,700 | Drivers’ salaries | $ 16,200 | |||
Depreciation on delivery equipment | 11,800 | Advertising | 4,800 | |||
Dispatcher’s salary | 5,650 | Delivery equipment repairs | 370 | |||
Property taxes on office building | 890 | Office supplies | 690 | |||
CEO’s salary | 13,000 | Office utilities | 1,070 | |||
Gas and oil for delivery trucks | 2,700 | Repairs on office equipment | 250 |
Determine the total amount of (a) delivery service (product) costs
and (b) period costs.
Delivery service (product) costs | $ | |
Period costs | $ |
Indirect materials | 6700 |
Depreciation on delivery equipment | 11800 |
Dispatcher’s salary | 5650 |
Gas and oil for delivery trucks | 2700 |
Drivers’ salaries | 16200 |
Delivery equipment repairs | 370 |
Delivery service (product) costs | 43420 |
Property taxes on office building | 890 |
CEO’s salary | 13000 |
Advertising | 4800 |
Office supplies | 690 |
Office utilities | 1070 |
Repairs on office equipment | 250 |
Period costs | 20700 |
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