Part 1 Costing Systems_Qs 14 Aug 2022

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Part 1 Costing Systems Question 1 Sip Healthy Company manufactures juicers and blenders. Management has compiled the following information: Production costs are as follows: What is the cost per driver unit for the cost of machining? A. $6.80 per direct labor hour. B. $6.40 per batch C. $8.40 per machine hour. D. $37.11 per unit. Question 2 Sweetums Syrup adds raw materials costs at the beginning of its manufacturing process and incurs conversion costs uniformly throughout the process. At the beginning of last month, Sweetums had 20,000 units that were 40% complete in its Beginning Work-in-Process Inventory. Over the course of the month, the company began production of 150,000 units; at month's end, 90,000 of those units were finished and transferred out, while the remaining units were 90% complete. Using the Weighted Average method, what was Sweetums’ equivalent units of production for materials for the month? A. 170,000 equivalent units. B. 98,000 equivalent units. C. 162,000 equivalent units. D. 240,000 equivalent units. Question 3 This month, the Roasting Department of Java Coffee Company completed and transferred out 75,000 one-pound bags of coffee. The department also had 25,000 units that were 80% complete with respect to conversion costs and no Beginning Work-in-Process. Using the FIFO method, how many equivalent units of production for conversion costs does the department have for the month? A. 70,000 B. 95,000 C. 100,000 D. 80,000

Part 1 Costing Systems Question 4 A company uses job order costing and begins the period with no finished goods inventory, but with a beginning work-in-process (WIP) of these jobs: During the period, a new job is started (Job #18) and these costs are incurred: Jobs #15 and #16 are completed and sold during the period. What is ending WIP inventory? A. $90,000 B. $98,000. C. $12,000. D. $110,000. Question 5 The Cutting Department at the Blanc Company had 4,000 units in Beginning Work-in-Process, 9,000 units transferred out, and 2,000 units in Ending Work in-Process. How many units were started by Blanc during the month? A. 11,000 units. B. 6,000 units. C. 7,000 units. D. 9,000 units Question 6 Contra Bricks manufactures custom brick products and uses job order costing. The following information relates to the fiscal year ending December 31, 20X7.

Part 1 Costing Systems What is Cost of Goods Manufactured? A. $339,700 B. $338,200 C. $335,100 D. $383,000 Question 7 Stockholm Skis makes two different products: downhill racing skis and cross-country skis. The company uses an ABC system that features the following activity cost pools and drivers: For the coming year, Stockholm estimates that it will use 36,000 parts in the assembly of its downhill skis and 31,500 parts in the assembly of its cross country skis. Based on this information, we can conclude that: A. Downhill skis will account for a larger percentage of overhead costs from the manufacturing pool. B. Cross-country skis will account for a smaller percentage of overhead costs from the inspection and testing pool. C. Downhill skis will account for a larger percentage of overhead costs from the ordering and receiving pool. D. Cross-country skis will account for a smaller percentage of overhead costs from the assembly pool. Question 8 A company that uses a process costing system inspects its goods at the 60% stage of completion. If the firm's ending work-in-process inventory is 80% complete, how would the firm account for its normal and abnormal spoilage? A. Both normal and abnormal spoilage costs would be added to the cost of the good units completed during the period. B. Normal spoilage costs would be allocated between the cost of good units completed during the period and the ending work-in-process inventory. In contrast, abnormal spoilage costs would be written off as a loss. C. Normal spoilage costs would be added to the cost of the good units completed during the period; in contrast, abnormal spoilage costs would be written off as a loss. D. Both normal and abnormal spoilage costs would be written off as an expense of the period.

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Part 1 Costing Systems Question 9 Using job order costing, what general ledger accounts are involved when a job is delivered to the customer? A. Increase (debit) Finished Goods Inventory and decrease (credit) Work-in-Process Inventory. B. Increase (debit) Cost of Goods Sold and decrease (credit) Finished Goods Inventory. C. Increase (debit) Finished Goods Inventory and decrease (credit) Cost of Goods Sold. D. Increase (debit) Cost of Goods Sold and decrease (credit) Work-in-Process Inventory. Question 10 Wolf Company used $5,940 of indirect raw materials and $56,700 of direct raw materials during the period. The company incurred $37,800 of direct factory labor and $6,480 of indirect factory labor during the period. What amount will Wolf assign to Manufacturing Overhead? A. $50,220 B. $62,640 C. $12,420 D. $94,500 Question 11 Harmony Co. used $31,920 of direct materials, worked 840 direct labor hours, and utilized 560 machine hours to complete a custom fishing boat for a customer. Harmony's direct labor rate is $22.00 per hour and overhead is applied based on machine hours at $34.00 per hour. What is the total manufacturing cost for this custom boat? A. $78,960 B. $50,400 C. $69,440 D. $79,520 Question 12 Kimbeth Manufacturing uses a process cost system to manufacture dust density sensors for the mining industry. The following information pertains to operations for the month of May. The beginning inventory was 60% complete for materials and 20% complete for conversion costs. The ending inventory was 90% complete for materials and 40% complete for conversion costs. Costs pertaining to the month of May are: Using the first-in, first-out (FIFO) method, the equivalent units of production for materials are: A. 98,400 units. B. 104,000 units.

Part 1 Costing Systems C. 100,000 units. D. 88,000 units. Question 13 Elaine's Fine Furniture has just started operations. Elaine's had the following job cost sheets for the month of January. What was the balance in Elaine's Finished Goods Inventory account as of January 31? A. $37,739 B. $34,101 C. $5,889 D. $23,411 Question 14 A company is implementing an activity-based budgeting system. Setup overhead is allocated based on setup hours, and manufacturing overhead is allocated based on direct manufacturing labor hours. Budget information is listed in the table below. The company plans to produce 1,000 units of Product A and 750 units of Product B. The activity rates are $100 per setup hour and $150 per direct manufacturing labor hour. What is the total budgeted overhead (OH)? A. $10,063 B. $13,625 C. $15,125 D. $20,125 Question 15 Ahrens Advertising creates ad campaigns for small local businesses. Ahrens offers three services — print, radio, and online. Customers choose which combination of ad types they would like and then Ahrens produces three ads for each of the selected types. Which cost system should Ahrens use and why? A. A job order cost system because production of an ad campaign is a service rather than a manufactured good

Part 1 Costing Systems B. A process cost system because each client can select ad types from only three possible options C. A job order cost system because each ad campaign is a specific job with its own set of costs D. A process cost system because clients receive a set number of ads for each type of advertising they select Question 16 Mandy Appliances manufactures toaster ovens. Each oven contains 15 parts totaling $35 in direct materials. Each oven requires 3 hours of machine time at $15 per machine hour, and 1.5 hours for inspection. The company has the following information regarding activities, activity drivers, and cost per driver units: What is the cost of assembly per toaster oven? A. $18.00 B. $12.75 C. $11.25 D. $17.70 Question 17 Frank's Frames makes custom silver picture frames engraved with names and significant dates, such as weddings or births. Although the frames can be partially completed in advance, all frames remain in the Work-in-Process Inventory account until the final engraving is completed. Job AAA01 was completed in January. At the beginning of January, costs accumulated on the frame were direct materials of $40, direct labor of $60, and overhead of $16. Completing the frame required 1.5 hours of direct labor at $15 per hour. Overhead is applied at $4 per direct labor hour. What is the total cost on the job cost sheet for Job AAA01 at the end of January? A. $144.50 B. $122.50 C. $116.00 D. $128.60

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Part 1 Costing Systems Question 18 Using information from Exhibit B, what are conversion costs per unit? A. $18. B. $113. C. $108. D. $58. Question 19 The Chocolate Baker specializes in chocolate baked goods. The firm has long assessed the profitability of a product line by comparing revenues to the cost of goods sold. However, Barry White, the firm's new accountant, wants to use an activity-based costing system that takes into consideration the cost of the delivery person. Listed below are activity and cost information relating to two of Chocolate Baker's major products. Using activity-based costing, which one of the following statements is correct? A. The cheesecakes are $75 more profitable. B. The muffins are $2,000 more profitable. C. The muffins have a higher profitability as a percentage of sales and, therefore, are more advantageous. D. The muffins are $1,925 more profitable. Question 20 Loyal Co. produces three types of men's undershirts: T-shirts, V-neck shirts, and athletic shirts. In the Folding and Packaging Department, operations costing is used to apply costs to individual units, based on the standard time allowed to fold and package each type of undershirt. The standard time to fold and package each type of undershirt is as follows.

Part 1 Costing Systems During the month of April, Loyal produced and sold 50,000 T-shirts, 30,000 V-neck shirts, and 20,000 athletic shirts. If costs in the Folding and Packaging Department were $78,200 during April, how much folding and packaging cost should be applied to each T-shirt? A. $0.0217. B. $0.7820. C. $0.8689. D. $1.5640. Question 21 What factors should a service company consider when determining whether to use process costing or job order costing? A. Whether the services are provided continuously. If they are continuous, process costing is appropriate; if they are not continuous, job order costing is appropriate. B. Whether the services are provided independently of other services. If they are independent, job order costing is appropriate; if they are not, process costing is appropriate. C. Whether a service is provided or a good is manufactured. If a service is provided, job order costing is appropriate; if a good is manufactured, process costing is appropriate. D. Whether the services provided require similar amounts of materials, labor, and overhead. If they require similar inputs, process costing is appropriate; if the inputs are not similar, job order costing is appropriate. Question 22 Which of the following indicates that direct materials have been moved from the storeroom to production? A. A purchase order. B. A materials requisition slip. C. A job order cost sheet. D. A customer invoice. Question 23 Sugar Industries manufactures specialized candy dispensers. One of Sugar's customers ordered 500 candy dispensers, Job 317C, which was started in March and finished on March 31. The job cost sheet for Job 317C as of March 31 shows $1,750 in direct materials, 30 direct labor hours, and 40 machine hours. The labor rate is $18 per direct labor hour and overhead is applied at the rate of $25 per machine hour. What is the cost per candy dispenser as of March 31 for Job 317C? A. $6.08 B. $6.94 C. $4.58 D. $6.58

Part 1 Costing Systems Question 24 A promotional department for a retailer uses job order costing. At the beginning of the period Job #154 had a work-in-process (WIP) inventory balance of $5,000. During the current period, Job #154 required $4,000 in direct materials and $6,000 in direct labor. The department has an overhead cost pool of $80,000 for all jobs. (The pool uses labor-hours as a cost-allocation base.) All jobs in the department consumed 10,000 labor-hours. If Job #154 used 1,000 labor-hours and sold for $34,000, what is its gross profit margin? A. $16,000. B. $11,000. C. $19,000. D. $23,000. Question 25 Wilson Tech's production cost data for the current period is: Materials are entered at the beginning of the process. The Ending Work-in-Process units are 40% complete as to conversion costs. Using the FIFO method, what are the equivalent units of production for materials? A. 12,280 units. B. 16,000 units. C. 9,800 units. D. 6,200 units. Question 26 Rubins Resources uses a process cost system to track manufacturing costs. Rubins likely makes: A. Cruise ships. B. Movies. C. Gears. D. Custom houses. Question 27 Young Company is beginning operations, and is considering three alternative ways in which to allocate manufacturing overhead to individual units produced. Young can use a plantwide rate, departmental rates, or activity based costing. Young will produce many types of products in its single plant, and not all products will be processed through all departments. In which one of the following independent situations would reported net income for the first year be the same regardless of which overhead allocation method had been selected? A. All ending inventory balances are zero. B. All manufacturing overhead is a fixed cost. C. All production costs approach those costs that were budgeted.

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Part 1 Costing Systems D. The sales mix does not vary from the mix that was budgeted. Question 28 A process cost accounting system would most likely be used for: A. Toy doll production. B. Motion picture production. C. Custom home building. D. Developing advertising campaigns. Question 29 Tom worked 40 hours during the week ending February 28. On his time ticket, he recorded the following: On Tom's time ticket, how many hours of labor will be allocated to indirect labor? A. 5 hours indirect labor. B. 33 hours indirect labor. C. 40 hours indirect labor. D. 7 hours are indirect labor. Question 30 Kimbeth Manufacturing uses a process cost system to manufacture dust density sensors for the mining industry. The following information pertains to operations for the month of May. The beginning inventory was 60% complete for materials and 20% complete for conversion costs. The ending inventory was 90% complete for materials and 40% complete for conversion costs. Costs pertaining to the month of May are: Using the first-in, first-out (FIFO) method, the equivalent unit cost of materials for May is: A. $4.68. B. $3.98. C. $5.03. D. $4.50.

Part 1 Costing Systems Question 31 Which of the following correctly depicts the flow of inventory costs in a job order cost system? A. Raw Materials Inventory, Work-in-Process Inventory, Finished Goods Inventory, Cost of Goods Sold B. Finished Goods Inventory, Work-in-Process Inventory, Cost of Goods Sold C. Work-in-Process Inventory, Raw Materials Inventory, Finished Goods Inventory, Cost of Goods Sold D. Cost of Goods Sold, Work-in-Process Inventory, Raw Materials Inventory, Finished Goods Inventory Question 32 A characteristic of products that use a process cost accounting system and are mass produced in a continuous fashion is: A. They are grouped in small batches. B. They are custom produced at the time an order is received. C. The accounting system assumes the products require identical amounts of materials, labor, and overhead. D. Their costs are accumulated on job cost sheets. Question 33 John at Tim's Toys was working on a custom-made miniature car for a customer. The job, BCB101, was started in March. At the end of March, the job cost sheet for BCB101 showed direct materials of $6,000, direct labor of 200 hours at $75 per hour, and overhead of 80% of direct labor cost. During April, direct materials of $1,700 were added, and John's time ticket showed 50 hours on Job BCB101, 25 hours on Job BCB102, and 40 hours on a new job, BCB103. Job BCB101 was completed on April 29. What is the total cost of Job BCB101 as of April 29? A. $41,450 B. $33,000 C. $8,450 D. $26,450 Question 34 A company has a method of collecting and organizing cost information in an accounting system, called (1)_______. This system performs (2)_______, which (3)_______ indirect costs and (4)_______ direct costs. A. cost assignment, (2) cost accumulation, (3) allocates, (4) traces. B. (1) cost assignment, (2) cost accumulation, (3) traces, (4) allocates. C. (1) cost accumulation, (2) cost assignment, (3) allocates, (4) traces. D. (1) cost accumulation, (2) cost assignment, (3) traces, (4) allocates. Question 35 Playtime Toys estimates that it will sell 200,000 dolls during the coming year. The beginning inventory is 12,000 dolls; the target ending inventory is 15,000 dolls. Each doll requires two shoes which are

Part 1 Costing Systems purchased from an outside supplier. The beginning inventory of shoes is 20,000; the target ending inventory is 18,000 shoes. The number of shoes that should be purchased during the year is: A. 203,000 shoes. B. 398,000 shoes. C. 201,000 shoes. D. 404,000 shoes. Question 36 The following information was gathered for the current period of manufacturing production for a firm: There were 100 units in beginning work-in-process (WIP), which were 20% complete in direct materials (DM) and 30% complete in conversion costs (CC). During the period 2,000 units were started in production and 1,900 were completed. Ending WIP inventory was 70% complete in DM and 60% complete in CC. If the firm uses the first-in, first-out (FIFO) inventory method, what are equivalent units for the period? A. DM: 2,120 units; CC: 2,090 units. B. DM: 2,020 units; CC: 1,990 units. C. DM: 1,900 units; CC: 1,900 units. D. DM: 2,040 units; CC: 2,020 units. Question 37 The Grelle Company applies overhead based on direct labor hours. For 20x4, the company estimated overhead costs to be $500,000 based on estimated direct labor hours of 25,000. The actual direct labor hours were 32,000, and actual overhead was $540,000. What was Grelle's predetermined overhead rate? A. $15.625 per direct labor hour. B. $20.00 per direct labor hour. C. $16.875 per direct labor hour. D. $21.60 per direct labor hour. Question 38 An example of a similarity between a job order cost system and a process cost system would be the: A. Point at which costs are totaled. B. Unit cost computations. C. Flow of costs. D. Method used to track costs. Question 39 Maker Distributors has a policy of maintaining inventory at 15% of the next month's forecasted sales.

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Part 1 Costing Systems The cost of Maker's merchandise averages 60% of the selling price. The inventory balance as of May 31 is $63,000, and the forecasted dollar sales for the last seven months of the year are as follows: What is the budgeted dollar amount of Maker's purchases for July? A. $360,000. B. $355,500. C. $418,500. D. $364,500. Question 40 Which of the following is a primary benefit of involving cross-functional teams in the target costing process? A. More accurate input and maintenance of cost table databases B. More realistic market assessment of customer wants and needs C. Improved analysis of how to gain and sustain competitive advantage D. Better assurance that the proposed product or service generates the desired profit margin Question 41 An accounting system that collects financial and operating data on the basis of the underlying nature and extent of the cost drivers is: A. target costing. B. variable costing. C. activity-based costing (ABC). D. direct costing. Question 42 A company has a beginning material inventory of $50,000, makes purchases of $20,000, and has an ending materials inventory of $30,000. If its beginning work-in-process (WIP) inventory is $100,000 and ending WIP inventory is $60,000 and its conversion costs are $80,000, what is its cost of goods manufactured for the period? A. $180,000. B. $160,000. C. $340,000. D. $40,000.

Part 1 Costing Systems Question 43 Which of the following is true of job order costing? A. Job order costing cannot be used with actual, normal, or standard costing. B. Actual or normal costing can be used with job order costing but not standard costing. C. Standard costing can be used with job order costing but not actual or normal costing. D. Actual, normal, or standard costing can be used with job order costing. Question 44 A sporting goods manufacturer buys wood as a direct material for baseball bats. The Forming Department processes the baseball bats, and the bats are then transferred to the Finishing Department where a sealant is applied. The Forming Department began manuf acturing 10,000 “Casey Sluggers” during the month of May. There was no beginning inventory. Costs for the Forming Department for the month of May were as: A total of 8,000 bats were completed and transferred to the Finishing Department; the remaining 2,000 bats were still in the forming process at the end of the month. All of the Forming Department's direct materials were placed in process but, on average, only 25% of the conversion cost was applied to the ending work-in-process inventory. The cost of the units transferred to the Finishing Department is: A. $50,000. B. $49,000. C. $42,400. D. $40,000. Question 45 Which of the following is not an advantage of using activity-based cost drivers? A. Costs are more reliably determined. B. Implementation is relatively inexpensive compared to other methods. C. Detailed breakdown of activities helps firms remove non-value-added activities. D. Cost deviations from expectations are highlighted. Question 46 Jolly Manufacturing produces furniture. Jolly has three jobs in process at the end of the month with the following information: Jolly's average direct labor rate is $20 per hour, and Jolly applies overhead at the rate of $17 per direct labor hour. What is the balance in Jolly's Work-in Process Inventory at the end of the month? A. $2,140

Part 1 Costing Systems B. $1,088 C. $2,368 D. $3,228 Question 47 At the beginning of the year, managers at King Industries estimated $400,000 in manufacturing overhead, 20,000 direct labor hours, and 30,000 machine hours. Actual manufacturing costs at the end of the year were $425,000 in manufacturing overhead. During the year, 22,000 direct labor hours and 27,000 machine hours were incurred. If King Industries uses a normal costing system, and if overhead is applied based on direct labor hours, how much overhead was applied during the year? A. $440,000 B. $540,000 C. $400,000 D. $425,000 Question 48 Claremont Company has been asked to evaluate the profitability of a product that it manufactured and sold from 20X5 through 20X8. The product had a one-year warranty from date of sale. The following information appears in the financial records. The life-cycle cost for this product is: A. $12,200,000. B. $12,000,000. C. $7,300,000. D. $12,300,000. Question 49 Turnbull Company produces two products, Beta and Delta. Overhead consists of the following: $20,000 in setup costs with number of setups as the driver; $2,220,000 in machining costs with machine hours as the driver; and $80,000 in packing costs with packing orders as the driver. Data for the current year follows: What is the total overhead allocated to Beta under activity-based costing? A. $464,000 B. $473,000 C. $773,333 D. $1,392,000

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Part 1 Costing Systems Question 50 Ed was working on a custom-made workbench for a customer. The job, TB0414, was started in November. At the end of November, the job cost sheet for TB0414 showed direct materials of $215, direct labor of 14 hours at $18 per hour, and overhead of 50% of direct labor cost. During December, $85 of direct materials were added to Job TB0414 and Ed's time ticket showed 15 hours on Job TB0414, 25 hours on Job TB0614, 10 hours of maintenance on the lathe, and 40 hours on a new job, DR1014. Job TB0414 was completed on December 28. What is the total amount of overhead applied to Job TB0414? A. $126 B. $135 C. $300 D. $261 Question 51 In changing from a traditional costing system to an activity-based costing system, overhead costs tend to shift from high- volume standard products to low-volume premium products because: A. The general overhead cost pool is not allocated under activity-based costing. B. Premium products usually consume more activities per unit than standard products. C. Organizational level overhead is not allocated under activity-based costing. D. Standard products generally use more total activities than premium products. Question 52 In life-cycle costing, which of the these is the primary method of lowering downstream costs? A. Improving supplier relationships. B. Improving product designs in the downstream phase. C. Improving the upstream and manufacturing cost phases. D. Proactive management during the downstream phase such as streamlining manufacturing costs. Question 53 Which of these are a benefit of using activity-based costing (ABC)? A. ABC reduces distortions caused by traditional methods that may make one product seem more or less profitable than it really is. B. ABC uses traditional rules for managers, so acceptance is usually automatic. C. ABC reports conform to GAAP and save the expense of needing to create more than one format. D. ABC simplifies the amount of information supplied to managers so that only relevant information is supplied. Question 54 On July 1, Premiere Paints’ Mixing Department had 80,000 units in Beginning Work-in-Process that were 65% complete. Between July 1 and July 31, the Mixing Department transferred 150,000 units to the Packaging Department. At the end of the month, on July 31, the Mixing Department had 40,000 units in Work-in-Process that were 80% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. Premiere Paints uses the FIFO method. Based on this information, which of the following statements is accurate?

Part 1 Costing Systems A. In July, the Mixing Department had 230,000 equivalent units of production for materials. B. In July, the Mixing Department had 102,000 equivalent units of production for materials. C. In July, the Mixing Department had 190,000 equivalent units of production for materials. D. In July, the Mixing Department had 110,000 equivalent units of production for materials. Question 55 Turnbull Company produces two products, Beta and Delta. Overhead consists of the following: $20,000 in setup costs with number of setups as the driver; $2,220,000 in machining costs with machine hours as the driver; and $80,000 in packing costs with packing orders as the driver. Data for the current year follow: What is the total overhead allocated to Beta under a traditional allocation based on machine hours? A. $473,000 B. $773,333 C. $1,392,000 D. $464,000 Question 56 Kimbeth Manufacturing uses a process cost system to manufacture dust density sensors for the mining industry. The following information pertains to operations for the month of May. The beginning inventory was 60% complete for materials and 20% complete for conversion costs. The ending inventory was 90% complete for materials and 40% complete for conversion costs. Costs pertaining to the month of May are: Using the first-in, first-out (FIFO) method, the equivalent unit conversion cost for May is: A. $1.86. B. $6.24. C. $6.20 D. $5.83. Question 57 On August 1, Mega Manufacturing's Fabrication Department had 24,000 units in Beginning Work-in-

Part 1 Costing Systems Process that were 60% complete. Between August 1 and August 31, the department transferred a number of completed units to the Packaging Department. At the end of the month, on August 31, the Fabrication Department had 60,000 units in Work-in-Process that were 80% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. If the Fabrication Department had 190,000 equivalent units of production for materials for August, how many completed units did it transfer to the Packaging Department? Mega uses the FIFO method. A. 154,000 units. B. 84,000 units. C. 132,400 units. D. 250,000 units. Question 58 Jones Manufacturing had one job, Job PLS5, in Work-in-Process Inventory at the beginning of March. The costs incurred to date on PLS5 included $12,300 of direct materials, $7,800 in direct labor, and $19,500 in overhead. During March, Jones finished the job by adding $1,700 of direct materials and $3,900 of direct labor. If Jones applies overhead at the rate of 250% of direct labor cost, what total cost related to Job PLS5 was transferred to Finished Goods Inventory during March? A. $39,600 B. $45,200 C. $15,350 D. $54,950 Question 59 Waller Co. uses a weighted-average process-costing system. Material B is added at two different points in the production of shirts, 40% is added when the units are 20% completed, and the remaining 60% of Material B is added when the units are 80% completed. At the end of the quarter, there are 22,000 shirts in process, all of which are 50% completed. With respect to Material B, the ending shirts in process represent how many equivalent units? A. 8,800 units. B. 4,400 units. C. 11,000 units. D. 22,000 units. Question 60 Which of the following would a merchandising company use in place of cost of goods manufactured on a statement of cost of goods sold? A. Net purchases. B. Prime costs. C. Materials inventory. D. Conversion costs.

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