Larry's Appliance Shop operates retail stores that sell appliances. The cost objects are the individual sales of a given type of appliance and sales support. For refrigerators in July, the following costs were recorded:
Required:
a. Which of the costs will be subject to direct cost tracing?
b. What is the total cost for refrigerators?
c. What is the total cost of the Sales Support for refrigerators?

Question

Larry's Appliance Shop operates retail stores that sell appliances. The cost objects are the individual sales of a given type of appliance and sales support. For refrigerators in July, the following costs were recorded:
  Required:
a. Which of the costs will be subject to direct cost tracing?
b. What is the total cost for refrigerators?
c. What is the total cost of the Sales Support for refrigerators?

Quizplus · Accepted Answer

The Answer of Larry's Appliance Shop operates retail stores that sell appliances. The cost objects are the individual sales of a given type of appliance and sales support. For refrigerators in July, the following costs were recorded:
  Required:
a. Which of the costs will be subject to direct cost tracing?
b. What is the total cost for refrigerators?
c. What is the total cost of the Sales Support for refrigerators?

Larry's Appliance Shop Operates Retail Stores That Sell Appliances