The following items (in millions) pertain to

ChesterChester

Corporation:

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ChesterChester's

manufacturing costing system uses a three-part classification of direct materials, direct manufacturing labor, and manufacturing overhead costs. Read the requirements

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.

Requirement 1. Calculate total prime costs and total conversion costs.

Total prime costs	$161	million
Total conversion costs	$105	million

Requirement 2. Calculate total inventoriable costs and period costs.

Total inventoriable costs		million
Period costs		million

For Specific Date			For Year 2017
Work-in-process inventory, Jan. 1, 2017	$14		Plant utilities	$6
Direct materials inventory, Dec. 31, 2017	3		Indirect manufacturing labor	30
Finished goods inventory, Dec. 31, 2017	18		Depreciationplant and equipment	7
Accounts payable, Dec. 31, 2017	25		Revenues	355
Accounts receivable, Jan. 1, 2017	59		Miscellaneous manufacturing overhead	11
Work-in-process inventory, Dec. 31, 2017	1		Marketing, distribution, and customer-service costs	99
Finished goods inventory, Jan 1, 2017	44		Direct materials purchased	83
Accounts receivable, Dec. 31, 2017	40		Direct manufacturing labor	42
Accounts payable, Jan. 1, 2017	41		Plant supplies used	5
Direct materials inventory, Jan. 1, 2017	39		Property taxes on plant	4

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