Required: Classify each cost listed as either a product cost or a period cost for the purpose of preparing financial statements for the bank. Put an X in the appropriate column. Product Period Cost Cost 1. Depreciation on salespersons' cars 2. Rent on equipment used in the factory for manufacturing 3. Lubricants used for machine maintenance in the factory 4. Wages of for those who work in the finished goods warehouse 5. Soap and paper towels used by factory workers at the end of a shift 6. Factory supervisors' salaries 7. Heat, water, and power consumed in the factory 8. Materials used for boxing products for shipment overseas (units are not normally boxed) 9. Advertising costs 10. Workers' compensation insurance for factory employees 11. Depreciation on chairs and tables in the factory lunchroom 12. The wages of the receptionist in the administrative offices 13. The cost of renting rooms at a Florida resort for the annual sales conference 14. The cost of packaging the company's product for end consumers. Problem z The Rane Corporation is a manufacturing company. The financial data for January is below: Sales $250,000 Variable Production expense $25,000 Fixed Production expense $40,000 Variable Selling expense $15,000 Fixed selling expense Variable administrative expense $37,000 $16,000 Fixed administrative expense $55,000 The company had no beginning or ending inventories. 1. The gross margin for January was: 2. Prepare a Contribution Income Statement for January below. Rane Inc. Contribution Format Income Statement Sales Ryan Enterprises is a manufacturing company that had no beginning inventories. A subset of the transactions that it recorded during a recent year of 2013 is shown below. a. $75,600 in raw materials were purchased for cash. b. $72,200 in raw materials were used in production. Of this amount, $66,300 was for direct materials and the remainder was for indirect materials. c. Total labor wages of $152,800 were incurred and paid. Of this amount, $134,800 was for direct labor and the remainder was for indirect labor. d. Additional manufacturing overhead costs of $125,600 were incurred and paid. e. Manufacturing overhead of $129,500 was applied to production using the company's predetermined overhead rate. f. All of the jobs in process at the end of the month were completed. g. All of the completed jobs were shipped to customers. h. Any underapplied or overapplied overhead for the period needs to be closed to Cost of Goods Sold. Required: Determine the following. If you want me to count partial credit you must use the T- accounts. 1. Total manufacturing costs for period 2. Cost of goods manufactured for period 3. Cost of goods sold for period (before any Overhead adjustment) 4. Cost of goods available for sale in period: 5. Was too much overhead applied or too little during the period?_ 6. Cost of goods sold for the period (after overhead AFTER adjustment)_