Use the following information to answer given question \(\begin{array}{c|c} & ₦ \\ \hline \text{Opening stock of raw materials} & 24,750\\ \text{Purchases of raw materials} & 129,640\\ \text{Carriage on raw materials} & 10,000\\ \text{Closing stock of raw materials} & 45,000 \\ \text{Factory supervisor's salary} & 30,000\\ \text{Wages of factory hands} & 50,000 \\ \text{Royalties paid}& 18,000\\ \text{Insurance of factories} & 62,000\\ \text{Work-in-progress(opening)} & 23,000 \\ \text{Raw material returned} & 12,200\end{array}\) The total overhead expenses is
A. ₦142,000 B. ₦151,000 C. ₦110,000 D. ₦92,000
Correct Answer: A
Explanation
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