25. In a process cost system, the cost of completed production in Department Ais transferred to Department B by which of the following entries? a. Debit Work in Process-Dept. B; credit Work in Process-Dept. A b. Debit Work in Process-Dept. B; credit Finished Goods-Dept. A. Debit Work in Process-Dept. B; credit Cost of Goods Sold-Dept. A c. d. Debit Finished Goods; credit Work in Process-Dept. B. 26. If sales are S3 00,000, variable costs are 75% of sales, Ed operating income is 540,000, what is the operating leverage? b. 7.500 c 1.875 d. 1.333 27. The cost of wages paid to employees directly involved in the manufacturing process in converting materials into finished product is classiied as: a. factory overhead cost b. direct labor cost c. wages expense d. direct materials cost 28. Estimated cash payments are planned reductions in cash from all of the following except: a manufacturing and operating expenses b. capital eaxpenditures c. notes and accounts receivable collections d. payments for interest or dividends 29. The three categori es of manufacturing costs comprising the cost of work in process are direct labor, direct materials, and: a indirect expenses b. direct expenses c. sales salaries expense d. factory overhead 30. The difference between the current sales revenue and the sales at the break-even point is called the: a. contribution margin b. margin of safety c. price factor d. operating leverage