1.	Given: Department A 8,000 sq. ft., Department B 5,000 sq., and Department C 6,000 sq. ft. The percent of overhead expenses applied to Department C to the nearest whole will be:
a)	68% 
b)	32%
c)	26%
d)	42%
e)	None of these

2.	With Department A sales of $200,000, Department B sales of $600,000, and overhead expense to be allocated of $25,000, the distribution of overhead to Department A based on sales is:
a)	$18,750
b)	$25,000
c)	$2,600
d)	$6,250
e)	None of these

3.	Belle Co. has beginning inventory of 12 sets of paints at a cost of $1.50 each. During the year, the store purchased 7 at $3.00, 8 at $3.25, and 12 at $3.50. By the end of the year 31 sets were sold. Using the LIFO method, the cost of ending inventory is:
a)	$28.00
b)	$12.00
c)	$21.00
d)	$3.50
e)	None of these

4.	Moss Co. uses the FIFO method to calculate ending inventory. Assuming 300 units are not sold, the cost of goods sold is:
a)	$7,600
b)	$7,280
c)	$3,120
d)	$3,400
e)	None of these

5.	Melissa’s Dress Shop’s inventory at cost on January 1 was $19,400. Its retail value was $36,000. During the year, additional net purchases at a cost of $42,600 were brought in. Its retail value was $64,000. The net sales for the year were $70,000. Melissa’s inventory at cost by the retail method is:
a)	$30,000
b)	$18,600
c)	18,000
d)	$12,400
e)	None of these

6.	Which one of the following builds up no cash value?
a)	Universal Life
b)	Straight-Life
c)	Term
d)	20-payment life
e)	None of these

7.	Abby Kaminsky, age 32, has decided to take out a limited payment life policy. She chose this since she expects her income to decline in future years. Abby has decided to take out a 20-year pay life policy with a coverage amount of $200,000. Using the tables in her handbook, her annual premium will be:
a)	$1,158
b)	$2,316
c)	$2,136
d)	$1,518
e)	None of these

8.	Mia's office building with a $300,000 value has a rating of 2 with a building classification of A. The contents in the building are valued at $120,000. Using the tables in the handbook, the total annual is:
a)	$1,046.40
b)	$990.00
c)	$1,064.40
d)	$1,064.04
e)	None of these
9.	Bill Blum insured his hardware store with a fire insurance policy for$88,000 at a cost of $.84 per $100. Ten months later his insurance company canceled his policy as a result of failure to correct a fire hazard. The cost of the policy to Bill was:
a)	$739.20
b)	$793.20
c)	$591.36
d)	$616.00
e)	None of these

10.	Calculate the optional bodily injury cost for the following: Class 10; optional bodily injury:100/300/50
a)	$94
b)	$144
c)	$108
d)	$187
e)	None of These