A factory supervisor’s wages are classified as:

Indirect labor Fixed manufacturing overhead
(A) No No
(B) No Yes
(C) Yes No
(D) Yes Yes

a. Choice A
b. Choice B
c. Choice C
d. Choice D

Respuesta :

The wages of a factory supervisor are classified as both an Indirect overhead and Fixed manufacturing overhead so the answer is D. Choice D.

What are fixed overhead?

  • These are costs that are not directly related to production.
  • They do not change regardless of production volume.

Indirect labor refers to labor that is not directly related to production as well. The factory supervisor's wages are not directly related so we can say that it falls under both indirect labor and fixed overhead.

In conclusion, option D is correct.

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