Vignana Corporation manufactures and sells handpainted clay

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?

Multiple Choice

$204,000

$152,000

$69,000

$118,000

Cost of clay used in production	$	69,000
Wages paid to the workers who paint the figurines	$	83,000
Wages paid to the sales manager\'s secretary	$	35,000
Cost of junk mail advertising	$	52,000

Solution

Cost of clay used in production 69000 Wages paid to the workers who paint the figurines 83000 Total of the direct costs 152000 Option 2 is correct