9) The following inventory balances relate to Colonial Manufacturing Corporation at the beginning and end of the year. Colonial's total manufacturing costs (total added to WIP) was $1,086,000. Beginning Balance Ending Balance Raw Materials Work in progress Finished goods $28,000 $62,000 $50,000 What was Colonials cost of goods sold? A) $1,138,000 B) $1,134,000 C) $1,034,000 D) $1,090,000 $38,000 $14,000 $46,000 10) When closing overapplied manufacturing overhead to Cost of Goods Sold, which of the following would be true? A) Cost of Goods Sold will increase. B) Gross margin will increase. C) Work in Process will decrease. D) Net income will decrease. Page 4

9) The following inventory balances relate to Colonial Manufacturing Corporation at the beginning and end of the year. Colonial's total manufacturing costs (total added to WIP) was $1,086,000. What was Colonials cost of goods sold? A) $1,138,000 B) $1,134,000 C) $1,034,000 D) $1,090,000 10) When closing overapplied manufacturing overhead to Cost of Goods Sold, which of the following would be true? A) Cost of Goods Sold will increase. B) Gross margin will increase. C) Work in Process will decrease. D) Net income will decrease