company? Which is amerchandiser? Which is amanufacturer? How can youtell?

More info

X-Treme		Y-Not?		Zesto
Cash. . . . . . . . . . . . . . . . .	$2,500	Cash. . . . . . . . . . . . . . . .	$3,000	Cash. . . . . . . . . . . . . . . . . . .	$2,000
Accounts receivable. . . . .	5,500	Accounts receivable. . . .	6,000	Accounts receivable. . . . . . .	5,000
Inventory. . . . . . . . . . . . . .	8,000	Prepaid expenses. . . . . .	500	Raw materials inventory. . . .	1,000
Prepaid expenses. . . . . . .	300	Total. . . . . . . . . . . . . . . . .	$9,500	Work in process inventory. .	800
Total. . . . . . . . . . . . . . . . . .	$16,300			Finished goods inventory. . .	4,000
				Total. . . . . . . . . . . . . . . . . . . .	$12,800

Question content area bottom

Part 1

XTreme

is a

manufacturer

merchandiser

service company

because it has

a single inventory account

no inventory

three kinds of inventory

.

Part 2

YNot?

is a

manufacturer

merchandiser

service company

because it has

a single inventory account

no inventory

three kinds of inventory

.

Part 3

Zesto

is a

manufacturer

merchandiser

service company

because it has

a single inventory account

no inventory

three kinds of inventory

2.Classify the following as direct or indirect costs with respect to a localLowe's store(the store is the costobject). Inaddition, state whetherLowe's would trace or allocate these costs to the store.

Question content area bottom

Part 1

a.

Store utilities

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 2

b.

TheCEO's salary

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 3

c.

The cost of lumber

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 4

d.

The cost of national advertising

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 5

e.

The wages of store employees

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 6

f.

The cost of operating the corporate Payroll Department

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 7

g.

The cost of ceilingfans, lightswitches, and lamps

Direct - Allocate Direct - Trace Indirect - Allocate Indirect - Trace

Part 8

h.

The cost of shopping bags sold at the store

3. Camera giant manufactures disposable cameras. Suppose thecompany's June

records include the items described below. . Data table

Glue for camera frames. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	$600
Depreciation expense on company cars used by sales force. . . . . . . . . .	3,800
Plant depreciation expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	13,000
Interest expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	2,400
Company president's salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	27,000
Plant supervisor's salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	4,400
Plant janitor's salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	2,500
Oil for manufacturing equipment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	65
Flashbulbs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	57,000

What is

CameraGiant's

total manufacturing overhead cost in June?

Question content area bottom

Part 1

	Camera Giant
	Computation of Total Manufacturing Overhead
	Manufacturing overhead:
	Total manufacturing overhead