7.) For the year, Abbott Company has the following account balances: Factory utilities Advertising Direct materials $ 15,500 15,000 137,600 Factory manager's salary 8,000 Repairs to office equipment 1,300 Sales staff salaries 45,000 ly. What is the amount of Abbott's period costs? A. $69,300 B. $23,500 C. $222,400 D. $61,300 8.) Managerial accounting is different from financial accounting in that: A. Managerial accounting includes many projections and estimates whereas financial accounting has a minimum of predictions. B. Managerial accounting must follow GAAP. C. Managerial accounting is used extensively by investors, whereas financial accounting is used only by creditors. D. Managerial accounting is more focused on the organization as a whole and financial accounting is more focused on subdivisions of the organization. E. Managerial accounting may only generate reports annually. 9.) Which of the following represents the components of the income statement for a manufacturing company? A. Sales revenue-operating expenses = gross profit B. Service revenue- cost of goods manufactured gross profit C. Sales revenue-cost of good sold gross profit D. Service revenue-operating expenses = gross profit 10.) Which of the following statements is true? A. Indirect labor and direct labor are both prime costs B. Selling costs and direct labor are conversion costs C. Direct labor and indirect materials are conversion costs D. Office administration costs and direct labor are period costs 11.) Inventory accounts for a manufacturer include: A. Direct materials, direct labor, and manufacturing overhead B. Prime costs, conversion costs, and period costs C. Direct material, direct labor, and prime costs D. Raw materials, work in process, and finished goods.