A.)

Cerrone Inc. has provided the following data for the month of July. The balance in the Finished Goods inventory account at the beginning of the month was $51,300 and at the end of the month was $41,700. The cost of goods manufactured for the month was $274,000. The actual manufacturing overhead cost incurred was $84,800 and the manufacturing overhead cost applied to Work in Process was $79,000. The adjusted cost of goods sold that would appear on the income statement for July is:

$283,600

$264,400

$277,800

$289,400

B.)

Meyers Corporation had the following inventory balances at the beginning and end of November:

	November 1			November 30
Raw Materials	$	64,000		$	16,000
Finished Goods	$	176,000		$	120,000
Work in Process	$	19,000		$	40,000

During November, $136,000 in raw materials (all direct materials) were drawn from inventory and used in production. The company's predetermined overhead rate was $4 per direct labor-hour, and it paid its direct labor workers $8 per hour. A total of 800 hours of direct labor time had been expended on the jobs in the beginning Work in Process inventory account. The ending Work in Process inventory account contained $16,000 of direct materials cost. The Corporation incurred $96,000 of actual manufacturing overhead cost during the month and applied $88,000 in manufacturing overhead cost.

The direct materials cost in the November 1 Work in Process inventory account totaled:

$15,800

$12,600

$9,400

$6,400

C.)

Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product.

Production volume	7,700	units	9,000	units
Direct materials	$472,010		$551,700
Direct labor	$157,850		$184,500
Manufacturing overhead	$1,005,700		$1,030,530

The best estimate of the total monthly fixed manufacturing cost is: (Do not round intermediate calculations.)

$861,630

$858,630

$855,630

$866,130