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1) X Company had the following inventory balances for 2017:

	Direct Materials	Work in Process	Finished Goods
January 1	$14,720	$16,806	$15,682
December 31	$14,720	$19,680	$14,466

The following additional information was available for 2017:

Direct materials costing $60,742 were purchased.

Direct labor cost was $27,782.

Overhead of $41,363 was allocated to products.

Selling and administrative costs were $33,378.

Sales were $384,687.

What was Cost of Goods Sold for the year?

2) The following 2017 cost information is available for X Company:

Direct material costs	$42,834
Direct labor costs	$83,696
Overhead costs	$210,304
Selling costs	$54,800
Administrative costs	$54,600

There were no unfinished or finished jobs at the beginning of 2017. At the end of 2017, there was only one job that was not finished, costing $19,545, and there was only one job that was finished but not sold, costing $28,690 What was Cost of Goods Sold in 2017?

Questions 3 & 4 are based on the following information:

3. X Company manufactures several products. It currently uses a plantwide overhead allocation system, with machine hours as the cost driver. Estimated machine hours for 2017 were 240,000; estimated overhead was $178,000.

Assume the following information for one of its products, Product A, produced in 2017:

Direct materials	$64,000
Direct labor	$16,455
Direct labor hours	1,097
Machine hours	1,920

How much overhead was allocated to Product A [round overhead rate(s) to two decimal places]?

4. X Company is considering switching to a departmental allocation system. It has two departments, and would use direct labor hours as the cost driver in Department 1 and machine hours as the cost driver in Department 2. The following are budgeted costs and driver amounts for these two departments in 2017:

	Department 1	Department 2
Direct materials	$17,000	$47,000
Direct labor	$600,000	$600,000
Overhead	$100,000	$78,000
Direct labor hours	40,000	40,000
Machine hours	100,000	140,000

Assume the following information for Product B in 2017:

	Department 1	Department 2
Direct materials	$850	$4,700
Direct labor	$13,005	$3,450
Direct labor hours	867	230
Machine hours	1,080	840

If X Company had used the departmental system, how much overhead would have been allocated to Product B [round overhead rate(s) to two decimal places]?

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