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\(\begin{array}{c|c} & ₦ \\ \hline \text{Opening st...

Opening stock of raw materials24,750Purchases of raw materials129,640Carriage on raw materials10,000Closing stock of raw materials45,000Factory supervisor's salary30,000Wages of factory hands50,000Royalties paid18,000Insurance of factories62,000Work-in-progress(opening)23,000Raw material returned12,200

The total overhead expenses is

 

A.

₦142,000

B.

₦151,000

C.

₦110,000

D.

₦92,000

Correct answer is A

Overhead cost are cost not directly associated with the production of goods and services. It includes Payroll costs -- including salary, liability and employee insurance.

 

30000 + 50000 + 62000 = 142000