Accounting/exam.....

Management of Lewallen Corporation has asked your help as an intern in preparing some key reports for September. Direct materials cost was $57,000, direct labor cost was $43,000, and manufacturing overhead was $71,000. Selling expense was $15,000 and administrative expense was $32,000. The prime cost for September was:

$100,000

The following cost data pertain to the operations of Swestka Department Stores, Inc., for the month of July. Corporate headquarters building lease $85,400 Cosmetics Department sales commissions--Northridge Store $5,000 Corporate legal office salaries $65,000 Store manager's salary-Northridge Store $19,600 Heating-Northridge Store $11,500 Cosmetics Department cost of sales--Northridge Store $32,700 Central warehouse lease cost $8,200 Store security-Northridge Store $17,600 Cosmetics Department manager's salary--Northridge Store $4,680 The Northridge Store is just one of many stores owned and operated by the company. The Cosmetics Department is one of many departments at the Northridge Store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are NOT direct costs of the Northridge Store?

$158,600 Corporate headquarters building lease $85,400 Corporate legal office salaries $65,000 Central warehouse lease cost $8,200

A partial listing of costs incurred at Gilhooly Corporation during September appears below: direct materials-183,000 utilities, factory- 9,000 administrative salaries- 90,000 indirect labor- 25,000 sales commissions-33,000 depreciation of production equipment-25,000 depreciation of administrative equipement-32,000 direct labor-124,000 The total of the product costs listed above for September is:

$366,000 utilities, factory- 9,000 indirect labor- 25,000 depreciation of production equipment-25,000 direct labor-124,000 direct materials-183,000

The following costs were incurred in September: Direct materials $42,700 Direct labor $29,400 Manufacturing overhead $27,300 Selling expenses $23,600 Administrative expenses $33,700 Conversion costs during the month totaled:

$56,700

Arden Company reported the following costs and expenses for the most recent month: Direct materials $ 76,000 Direct labor $ 38,000 Manufacturing overhead $ 16,000 Selling expenses $ 19,000 Administrative expenses $ 31,000 Required: What is the total amount of product costs? What is the total amount of period costs? What is the total amount of conversion costs? What is the total amount of prime costs?

130,000 50,000 54,000 114,000

The property taxes on a factory building would be an example of:

Conversion cost

Which of the following costs is classified as a prime cost?

Direct Materials

The salary paid to the maintenance supervisor in a manufacturing plant is an example of:

Product cost and MOH

Inventoriable costs are also known as:

Product costs

A manufacturing company prepays its insurance coverage for a three-year period. The premium for the three years is $5,490 and is paid at the beginning of the first year. Seventy percent of the premium applies to manufacturing operations and thirty percent applies to selling and administrative activities. What amounts should be considered product and period costs respectively for the first year of coverage?

Total Insurance expense for the year = $5,490 / 3 year Total Insurance expense for the year = $1,830 Product cost (Manufacturing cost) = $1,830 * 70% = $1,281 Period Cost (Selling and administrative cost) = $1,830*30% = $549