1. Sealy Company has beginning raw materials inventory $12,000, ending raw materials inventory $15,000, and raw materials purchases $170,000. What is the cost of direct materials used? Cost of direct materials used__________

2. Tate Inc. has beginning work in process $26,000, direct materials used $240,000, direct labor $220,000, total manufacturing overhead $180,000, and ending work in process $32,000. What are the total manufacturing costs?

Total manufacturing costs___

3. Indicate whether each of the following costs of an automobile manufacturer would be classified as direct materials, direct labor, or manufacturing overhead.

(a)		Direct MaterialsDirect LaborManufacturing Overhead		Windshield.
(b)		Direct MaterialsDirect LaborManufacturing Overhead		Engine.
(c)		Direct MaterialsDirect LaborManufacturing Overhead		Wages of assembly line worker.
(d)		Direct MaterialsDirect LaborManufacturing Overhead		Depreciation of factory machinery.
(e)		Direct MaterialsDirect LaborManufacturing Overhead		Factory machinery lubricants.
(f)		Direct MaterialsDirect LaborManufacturing Overhead		Tires.
(g)		Direct MaterialsDirect LaborManufacturing Overhead		Steering wheel.
(h)		Direct MaterialsDirect LaborManufacturing Overhead		Salary of painting supervisor.

4.Trak Corporation incurred the following costs while manufacturing its bicycles.

Bicycle components		$100,000		Advertising expense		$45,000
Depreciation on plant		60,000		Property taxes on plant		14,000
Property taxes on store		7,500		Delivery expense		21,000
Labor costs of assembly-line workers		110,000		Sales commissions		35,000
Factory supplies used		13,000		Salaries paid to sales clerks		50,000

(a) Identify each of the above costs as direct materials, direct labor, manufacturing overhead, or period costs.

Bicycle components		Direct LaborPeriod CostsManufacturing OverheadDirect Materials
Depreciation on plant		Period CostsDirect MaterialsManufacturing OverheadDirect Labor
Property taxes on store		Manufacturing OverheadDirect MaterialsPeriod CostsDirect Labor
Labor costs of assembly-line workers		Direct MaterialsManufacturing OverheadPeriod CostsDirect Labor
Factory supplies used		Direct MaterialsManufacturing OverheadDirect LaborPeriod Costs
Advertising expense		Direct MaterialsDirect LaborManufacturing OverheadPeriod Costs
Property taxes on plant		Direct MaterialsDirect LaborManufacturing OverheadPeriod Costs
Delivery expense		Direct LaborPeriod CostsDirect MaterialsManufacturing Overhead
Sales commissions		Direct MaterialsPeriod CostsDirect LaborManufacturing Overhead
Salaries paid to sales clerks		Manufacturing OverheadPeriod CostsDirect MaterialsDirect Labor