1. Which of the following sections from the statement of cash flows includes the issuance of stock and the payment of dividends?

a)The investing section

b)The financing section

c)The operating section

d)The noncash investing

2. All of the following are examples of manufacturing overhead EXCEPT for:

a)utilities incurred in the factory.

b)insurance on factory equipment.

c)wages of assembly line workers.

d)indirect materials.

Harrison Company reports the following cost information for August:

Cost of goods manufactured	$135,800
Finished goods inventory, Aug. 1	30,200
Finished goods inventory, Aug. 31	35,300
Work in process inventory, Aug. 1	22,500
Work in process inventory, Aug. 31	18,500
Direct materials used	25,300

3. What is cost of goods sold for August?

$154,500

$125,100

$130,700

$139,800

Harrison Company reports the following cost information for August:

Cost of goods manufactured	$135,800
Manufacturing overhead	42,600
Work in process inventory, Aug. 1	22,500
Work in process inventory, Aug. 31	18,500
Direct materials used	25,300

4. What is the amount of direct labor incurred by Harrison Company in August?

$131,800

$ 61,944

$ 49,556

$ 63,900

Harrison Company reports the following cost information for August:

Cost of good manufactured	$135,800
Direct materials used	25,300
Work in process inventory, Aug. 1	22,500
Work in process inventory, Aug. 31	18,500
Direct labor incurred	63,900

5. What is the amount of manufacturing overhead incurred by Harrison Company in August?

$25,300

$61,944

$42,600

$63,900

America First Company provided the following manufacturing costs for the month of June.

Direct materials cost	$40,000
Janitor's salary	$ 2,500
Property taxes	$ 8,000
Direct labor cost	$68,000
Packaging costs	$ 9,400
Equipment depreciation (straight-line)	$12,000
Factory insurance	$ 9,500
Factory manager's salary	$ 6,400

6. How much of the above would normally be considered variable costs?

A.$108,000

B.$125,400

C.$117,400

D.$ 38,400

Bell Products manufactures packs of pesticides which are sold to farmers. Cost, volume and price data are as follows:

Price per unit	$25.00
Variable cost per unit	$20.00
Fixed cost per month	$8,000
Current sales volume (units)	3,000

7.If Bell wishes to earn $10,000 of operating income, what volume of sales is needed?

A. 3,600

B. 3,200

C. 3,500

D. 3,150