Vignana Corporation manufactures and sells hand-painted clay figurines of popular sports heroes. Shown below are some of the costs incurred by Vignana for last year:

-What is the total of the direct costs above?
A) $65,000
B) $112,000
C) $155,000
D) $202,000

Question

Vignana Corporation manufactures and sells hand-painted clay figurines of popular sports heroes. Shown below are some of the costs incurred by Vignana for last year:
 
-What is the total of the direct costs above?
A) $65,000 
B) $112,000 
C) $155,000 
D) $202,000

Quizplus · Accepted Answer

Solution: Direct costs include the cost of clay used in production and the wages paid to the workers who paint the figurines.
$65,000 + $90,000 = $155,000

Vignana Corporation Manufactures and Sells Hand-Painted Clay Figurines of Popular