1. Compute Cost of Goods Sold for Paul's Sporting Goods, a merchandising company, given the following information: Advertising expense.................................. $ 35,000 Purchases of merchandise......................... 200,000 Salaries expense........................................ 75,000 Freight-in and import duties...................... 25,000 Lease of store............................................. 65,000 Beginning inventory................................... 22,000 Ending inventory........................................ 45,000

2. Calculate cost of goods manufactured from the following amounts: direct materials used ($22,000), direct labor ($6,000), manufacturing overhead ($14,000), beginning work in process inventory ($6,000), and ending work in process inventory ($3,000).

3.Actual Manufacturing Overhead incurred during the year is $950,000 and Manufacturing Overhead allocated to jobs during the year is $900,000. By how much had the company overallocated or under allocated Manufacturing Overhead for the year? Question 16 options: Under allocated by $50,000 Overallocated by $50,000

4. Assume a job with one product requires 5 direct labor (DL) hours to produce: 3 DL hours in the Machining Department and 2 DL hours in the Assembly Department. Use the plantwide overhead rate of $16 per DL hour and departmental allocation rates of $32 per DL hour in Machining Department and $12 per DL hour in Assembly Department.

1. How much MOH would be allocated to the job using the plantwide overhead rate?

2. How much MOH would be allocated to the job using the departmental overhead rates?

5. Dairymaid makes organic yogurt. The only ingredients, milk and bacteria cultures, are added at the very beginning of the fermentation process. At month end, Dairymaid has 100 cups of yogurt that are only 50% of the way through the fermentation process. Use the equivalent unit formula to answer the following: a. How many equivalent units of direct materials are in ending work in process? b. How many equivalent units of conversion costs are in ending work in process?

6.Cost per equivalent unit of each case of yogurt are:

1) Transferred-in .........$4

2) Direct Materials .....$3

3) Conversion Costs ...$7

a) How much did each case of yogurt cost to make, from start to finish?

b) If each case sells for $20, what is the gross profit per case?

7. Beginning Work In Process = 8,000 units Started units during the period = 20,000 Ending Work In Process = 2,000 Completed and Transferred units during the period?