Accounting 0452 · IGCSE · Manufacturing accounts

Manufacturing accounts — practice question

A manufacturing business supplied the information below. - Cost of raw materials: $186\,000 - Direct wages: $75\,000 - Machinery depreciation: $45\,000 - Factory supervisor’s salary: $32\,000 - Factory rent: $24\,000 - Machinery repairs: $18\,000 What is the prime cost of manufacturing?

  • A$186\,000
  • B$261\,000
  • C$293\,000
  • D$380\,000

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