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Problem 10-22A (Algo) Product versus selling, general, and administrative (SG&A) costs LO 10-2, 10 -3 Rooney Manufacturing Company was started on January 1, Year 1,

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Problem 10-22A (Algo) Product versus selling, general, and administrative (SG\&A) costs LO 10-2, 10 -3 Rooney Manufacturing Company was started on January 1, Year 1, when it acquired $75.000 cash by issuing common stock. Rooney immediately purchased office furnitute and manufacturing equipment costing $9,100 and $26,900, respectively. The office furmiture had an eight-year useful ife and a zero salvage value. The manufacturing equipment had a $3,800 salvage value and an expected useful life of three years. The company paid $11,400 for salaries of administrative personnel and $15,200 for wages to production personnel. Finally, the company paid $10,720 for raw materials that were used to make inventory. All inventory was started and completed during the year Rooney completed production on 4,100 units of product and sold 3,130 units at a pifie of $16 each in Year 1 (Assume that all transactions are cash transactions and that product costs are computed in accordance with GAAP) Required o. Determine the total product cost and the average cost per unit of the inventory prociuced in Year 1 . Round "Averoge cost per unit"" to 2 decimol places.) b. Determine the mount of cost of goods sold that would oppeat an the Yeat tincome statement, (Do not round intermiediote calculotions.) c. Detetmine the amount of the encing inventory balance that would appear an the December 31, Yeicl, balance sheet (Do not round intermediate calculations) d. Determine the athout of net income thar wowid sppear an the vear 1 income sfaterient (Round your answer to the neorest doliot amount.) 6. Determine the amount of retaned earrings that would appent on the December 3t yest libalance sheet f Round youf answer tol the neorest doliot omounti d. Determine the amount of net income that would appear on the amount.) e. Determine the amount of retained earnings that would appear on the nearest dollar amount.) f. Determine the amount of total assets that would appear on the D nearest dollar amount.)

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