23. A product cost is expensed in the period in which it is manufactured shown with current liabilities on the balance sheet shown with operating expenses on the income statement d expensed in the period the product is sold Conversion costs are a direct materials and direct labor b. direct materials and factory overhead e factory overhead and direct labor d. direct materials and indirect labor 25. Given the following data: Beginning raw materials inventory Materials purchased Ending raw materials inventory $30,000 65,000 40,000 What is the amount of raw materials used? a $5,000 b. $55,000 c. $75,000 d. $30,000 26. The following information is taken from the financial records of Gunner Manufacturing: Cost of materials used Direct labor costs Factory overhead Work in process, beginning Work in process, ending $45,000 48,000 39,000 18,000 28,000 What is the cost of goods manufactured? a. $178,000 b. $132,000 c. $122,000 d. $142,000 27. Managerial accountants could prepare all of the following reports except a a performance report identifying amounts of scrap b. a control report comparing direct material usage over time c. a sales report targeting monthly sales and potential bonuses d. an annual report for external regulators such as the SEC