Answer one of the following questions (10 marks): 1. The selected data that follow relate to the XYZ Company Raw material purchased Direct material used Direct labor $160,000 79,000 170,000 90,000 Manufacturing overhead applied Required: During the year, products costing $110,000 were completed. Prepare journal entries to record the preceding transactions and events. The company uses a perpetual inventory system 2 ABC company currently manufactures a subassembly for its main product. The costs per unit are as follows: Direct materials $1.00 Direct labor 10.00 Variable overhead 5.00 Fixed overhead 8.00 Total $24.00 Bill Company has contacted ABC company with an offer to sell them 5,000 of the subassemblies for $22.00 each. ABC company will eliminate $25,000 of fixed overhead if it accepts the proposal. Requirement: (a) What are the total relevant costs for ABC company? (b) Should ABC company make or buy the subassemblies? Explain your