a) What is cost of goods sold?

b) What is operating income?

c) What is gross profit?

Paper Clip Company sells office supplies. The following information summarizes the company's operating activities for the year: Utilities for the store Sales commissions Sales revenue Purchases of merchandise January 1 inventory Rent for store December 31 inventory $ 9,500 10,000 164,000 85,000 27,000 13,500 23,000 a) What is cost of goods sold? b) What is operating income? c) What is gross profit? ---------------- Here are selected data for Tyler Corporation: Cost of materials purchases on account $68,00 051,00 Cost of materials requisitioned (includes $4,500 of indirect) 0 Direct labor costs incurred 77,00 0 Manufacturing overhead costs incurred, including indirect materials 97,50 0 Cost of goods manufactured 223,00 0 Cost of goods sold 151,00 014,50 Beginning raw materials inventory 0 Beginning work in process inventory 29,70 0 Beginning finished goods inventory 32,80 0 Predetermined manufacturing overhead rate (as % of direct labor 130 cost) % Q1: What is the balance in work in process inventory at the end of the year? Q2: Job 140 requires $12,000 of direct materials, $6,700 of direct labor, 550 direct labor hours, and 270 machine hours. It also requires 9 hours of inspection at $40 per hour. Manufacturing overhead is computed at $28 per direct labor hour used and $42 per machine hour used. The total dollars of conversion costs are