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58. MC&A Corp. had the following costs during the period: Direct Materials: $4,500 Direct Labor: $5,600 Manufacturing Overhead: $3,700 Marketing Costs: $2,200 Shipping Costs: $1,500 Sales Salaries: $6,000 Office Salaries: $3,000 What amount would be reported as period costs and where? a) $16,400 would be immediately expensed on the income statement. b) $12,700 would be immediately expensed on the income statement. c) $12,700 would be reported in inventory on the balance sheet. d) $16,400 would be reported in inventory on the balance sheet. e) $7,500 would be reported in inventory on the balance sheet 59. St. Nick Co, a toy manufacturer, is considering taking on a special order of dolls. Currently, the company has excess capacity. The following information has been collected: Units requested for special order 1,00 dolls Normal selling price per doll $20 Selling price per doll for special order $18 Variable manufacturing costs per doll $15 Fixed manufacturing cost per doll $4 Using incremental analysis, should St. Nick Co. accept the special order? a) No because the total cost per doll of $19 is more than the special-order selling price of $18 per doll. b) No because the selling price per the special order is less than the normal selling price c) Yes because this would increase net income by $3,000 d) No because this would decrease net income by $2,000 6# A company is preparing a production budget and has budgeted sales in units as follows: April May June July 8,000 10,000 11,000 11,500 Management of the company wants their ending inventory to be 10% of the following month's budgeted sales in units. Ending inventory on March 31 was 800 units. What is the required production for April? a) 9,800 units b) 8,200 units c) 7,800 units d) 6,200 units 61. When management is performing incremental analysis, costs or revenues that differ between two alternatives are known as: a) Irrelevant b) Unavoidable c) Relevant d) Sunk