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14) Which of the following could be found on the income statement of a service company? A) sales revenue B) cost of goods manufactured C) cost of goods sold D) building rent expense 15) Inventory accounts for a manufacturer include which of the following? A) work in process direct labor, and finished goods B) merchandise, materials, and finished goods C) work in process, materials, and manufacturing overhead D) materials work in process, and finished goods 16) Goods that are partially completed by a manufacturer are referred to as which of the following? A) merchandise inventory B) materials inventory C) finished goods inventory D) work in process inventory 17) Which of the following is an example of direct labor? A) wages of factory security C) salary of vice president of production B) wages of assembly line personnel D) salary of production manager 18) Manufacturing overhead includes which of the following? A) indirect materials and direct materials B) direct materials and direct labor C) factory rent and direct labor D) indirect labor and indirect materials 19) Which of the following is NOT reported on the balance sheet as a current asset A) work in process inventory B) materials inventory C) manufacturing overhead D) finished goods inventory 20) All of the following are examples of manufacturing overhead except for one which is it? A) wages of assembly line workers B) indirect materials C) utilities incurred in the factory D) insurance expired on factory equipment 21) Which of the following defines direct materials? A) used to determine total manufacturing overhead B) cannot be separately and conveniently traced through the manufacturing process to finished goods C) are not part of the finished product D) used to determine total inventoriable product costs 22) Which role are managers performing when they evaluate their company's performance compared to the plan? A) decision making B) hiring C) controlling D) planning 23) To what does the term e-commerce refer? A) the production of superior products and services B) the exchange of information with customers and suppliers C) the conduct of business on the Internet D) the quick delivery of goods and services 24) Where is finished goods inventory reported? A) income statement as revenue C) balance sheet as a current asset B) balance sheet as a long-term asset D) income statement as a period cost 26) Use the correct number to designate each item below. 1. direct materials 2. selling and general expenses 3. manufacturing overhead 4. direct labor rent expense on factory building sales supplies used factory supplies used indirect materials used wages of assembly line personnel cost of primary material used to make product depreciation on office equipment rent on office facilities insurance expired on factory equipment utilities incurred in the office advertising expense taxes paid on factory building