The costs listed below are related to a manufacturer of all-natural ice cream. In the space provided, indicate whether the cost should be classified as direct materials (DM), direct labor (DL), or overhead (OH).
_____
a. Maintenance on factory building
_____
b. Cream
_____
c. Mixing department wages
_____
d. Vanilla
_____
e. Factory supervisor's salary
_____
_____ f. Machine oil for mixing machines
_____ g. Sugar
_____ h. Machine operator wages
_____ i. Factory maintenance labor
_____ j. Depreciation on factory equipment
Correct Answer:
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b. DM
c. DL
d....
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