Accounting 0452 · IGCSE · Manufacturing accounts

Manufacturing accounts — practice question

A manufacturing company supplied the information below. Raw material cost $186\,000$. Direct wages totalled $75\,000$. Depreciation of machinery was $45\,000$. The factory supervisor’s salary amounted to $32\,000$. Factory rent came to $24\,000$. Repairs to machinery cost $18\,000$. Calculate the prime cost of manufacturing.

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

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