Sales $450,000 Variable expenses: Variable manufacturing expenses $130,000 Sales commissions 48,000 Shipping 12,000, single underlined Total variable expenses 190,000, single underlined Contribution margin 260,000 Fixed expenses: Salary of product-line manager 21,000 General factory overhead 104,000 asterisk Depreciation of equipment (no resale value) 36,000 Advertising - traceable 110,000 Insurance on inventories 9,000 Purchasing department 50,000 superscript dagger Total fixed expenses 330,000, single underlined Net operating loss $(70,000), double underlined Asterisk is Allocated on the basis of machine-hours. Dagger is Allocated on the basis of sales dollars. Which of the following statements is true with respect to the example described in the video? multiple choice 2 The general factory overhead was treated as a relevant cost. The insurance on inventories was treated as a relevant cost. The salary of the product-line manager was treated as an irrelevant cost. The advertising (traceable) was treated as an irrelevant cost.