25-

Current information for the Healey Company follows:

Beginning raw materials inventory	$	15,200
Raw material purchases		60,000
Ending raw materials inventory		16,600
Beginning work in process inventory		22,400
Ending work in process inventory		28,000
Direct labor		42,800
Total factory overhead		30,000

All raw materials used were traceable to specific units of product. Healey Company's total manufacturing costs for the year are:

Multiple Choice

• $125,800.

• $128,600.

• $131,400.

• $137,000.

• $139,000.

  18 - Refer to the following selected financial information from Gomez Electronics. Compute the company's return on total assets for Year 2.

  	Year 2			Year 1
  Net sales	$	478,500		$	426,250
  Cost of goods sold		276,300			250,120
  Interest expense		9,700			10,700
  Net income before tax		67,250			52,680
  Net income after tax		46,050			39,900
  Total assets		317,100			288,000
  Total liabilities		181,400			167,300
  Total equity		135,700			120,700

  Multiple Choice

• 9.6%.

• 15.2%.

• 2.6%.

• 22.2%.

• 14.5%.