ACCT 2700

E10-2) Direct Materials Cost: A, G, I Direct Labor Cost: E, J Factory Overhead Cost: B, C, D, F, H E10-4) A)Period cost B)Period cost C)Period cost D)Product cost E)Product cost F)Product cost G)Product cost H)Product cost I)Product cost J)Product cost K)Period cost L)Period cost M)Product cost N)Period cost O)Period cost P)Period cost Q)Product cst E10-7) ? E10-16) A)12 X 7 X (52-2) = 4,200 $1,260,000/4,200 =$300 B)3.4 x $300=$1, 020 C)$101,750 - $99,000 =$2,750 E10-21) According to the CEO's statement, an entity becomes just-in-time by reducing the level of inventory, but just-in-time is not only the inventory reduction method. It also involves the reduction of time, cost, and improvement of product quality. The just-in-time inventory management approach defines a way of acquiring inventory from suppliers when the requirement for particular inventory arises. The primary goal is to lower inventory levels costs while increasing turnover.