1. Bard Manufacturing uses a job order cost accounting system. During one month Bard purchased $198,000 of raw materials on credit; issued materials to production of $195,000 of which $30,000 were indirect. Bard incurred a factory payroll of $150,000, paid in cash, of which $40,000 is classified as indirect labor. Bard uses a predetermined overhead application rate of 150% of direct labor cost. Bard's beginning and ending Goods in Process Inventory are $15,500 and $27,000 respectively. Compute the cost of product transferred to Finished Goods Inventory:

a. $558,500.

b. $440,000.

c. $413,000.

d. $428,500

e. $415,000

2. The following information is available for the year ended December 31:

The amount of raw materials used in production for the year is:

a. $4,100.

b. $5,100.

c. $3,500.

d. $6,500.

e. $4,000.

Beginning raw materials inventory. Raw materials purchases................ Ending raw materials inventory......... Office supplies expense ............. $2,500 4,000 3,000 1,000