Question

Which one of the following positions would have salaries or wages that are classified as a factory overhead cost by a baking company?

a.President of the company
b.Factory supervisor
c.Baker

Answer 1

Out of the following positions, the position of the factory supervisor would have a salary or wage that is classified as a factory overhead cost by a baking company.

Explanation:

• For a baking factory, professionals like a baker, a salesman, or the president of the company are mandatory to have.
• The need for a factory supervisor arises only if it is devised or felt that the employees would not work properly if they are not monitored.
• If such a need is not felt anymore, the salary of the factory supervisor would be considered as an overhead cost by the company.