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Unformatted text preview: one closes then these costs would not be differential. Also if the advertising is not specific to this division and is applicable to other divisions as well, then this cost would not be differential. a. Energy to run machines producing units of output in the factory V,M b. Depreciation on buildings for administrative staff offices F,P c. Bonuses of top executives in the company F,P d. Overtime pay for assembly workers V,M e. Transportation-in costs on materials purchased V,M f. Assembly line workers’ wages V,M g. Sales commissions for sales personnel V,P h. Administrative support for sales supervisors F,P i. Controller’s office rental F,P j. Cafeteria costs for the factory F,M...
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- Spring '11
- Revenue, Factory, Mass production, Net differential gain