Derrald company manufactures snowboards. costs for january were as follows. indirect $11,000 direct 36,000 income tax 14,000 indirect 5,000 property taxes on the factory 18,000 direct 31,000 salespersons 9,000 interest 17,000 insurance on manufacturing 12,000 what is derrald company's actual manufacturing overhead for january?

$86,000

Explanation:

The computation of the actual manufacturing overhead for January month is shown below:

= Indirect labor + income tax expense + indirect materials + property taxes on the factory equipment + Salespersons commissions + Interest expense + Insurance on manufacturing equipment

= $11,000 + $14,000 + $5,000 + $18,000 + $9,000 + $17,000 + $12,000

= $86,000

We simply added all indirect cost and ignored all direct cost

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation: