.The logical explanation for an entry that includes a debit to Manufacturing Overhead control and a credit to Prepaid Insurance is     a. the insurance company sent the company a refund of its policy premium. b. overhead for insurance was applied to production. c. insurance for production equipment expired. d. insurance was paid on production equipment.

An example of a nonproduction cost is   a.wages paid to assembly-line employees. b.manufacturing supplies. c.the treasurer's salary. d.insurance on manufacturing facilities.

The following events occurred over the course of a year at Coronado Corp., which uses a job order costing system: 1. Direct materials purchases totaled $586,000. Coronado Corp tracks its direct materials separately from its indirect materials. Purchases were made on account. 2. $133,000 of indirect materials were used in production. Coronado uses a separate Supplies Inventory account for indirect materials. 3. $556,000 of direct materials were used in production. 4. The direct labor payroll was $791,000 (credit Wages Payable). 5. Other manufacturing overhead costs incurred during the year totaled $684,000. 6. Coronado applies overhead based on a predetermined overhead rate of $24 per machine hour. The company used 48,000 machine hours during the year. 7. During the year, Coronado transferred goods costing $2,430,000 into the Finished Goods Inventory account. 8. Coronado sold products with a manufacturing cost of $2,398,000 to customers during the year.

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