MANAGERIAL ACCOUNTING In-class Exercise - Topic 2-2 Name: Date: Various costs and sales data for Meriwell Company for the most recent year follow: $ 20,000 $ 40,000 Finished goods inventory, beginning Finished goods inventory, ending Depreciation, factory Administrative expenses Utilities, factory $ 27,000 $110,000 $ 8,000 Maintenance, factory $ 40,000 Supplies, factory $ 11,000 $ 4,000 Insurance, factory Purchases of raw materials Raw materials inventory, beginning $125,000 $ 9,000 Raw materials inventory, ending $ 6,000 Direct labor $ 70,000 Indirect labor $ 15,000 $ 17,000 Work in process inventory, beginning Work in process inventory, ending $ 30,000 Sales $500,000 Selling expenses $ 80,000 Required: 1. Prepare a schedule of cost of goods manufactured for Meriwell Company. Compute COGS for the period for Meriwell Company. 3. Prepare the Income Statement for Meriwell Company. Meriwell Company Schedule of Cost of Goods Manufactured Meriwell Company Cost of Goods Sold 1. A company has an opportunity to obtain a contract for the production of a special component. This component will require 100 hours of processing on Machine X. Machine X is working at full capacity on the production of Product A, and the only way in which the contract can be fulfilled is by reducing the output of Product A. This will mean a loss of revenue of $200. The contract will also result in additional variable costs of $1,000. What is the opportunity cost