On december 31, 2017, coolwear, inc. had a balance in its prepaid insurance account of $48,400. during 2018, $86,000 was paid for insurance.
at the end of 2018, after adjusting entries were recorded, the balance in the prepaid insurance account was 42,000. insurance expense for 2018 would be:

(a) $92,400.

(b) $6,400.

(c) $134,400.

(d) $86,000.

Depasquale corporation is working on its direct labor budget for the next two months. each unit of output requires 0.61 direct labor-hours. the direct labor rate is $8.70 per direct labor-hour. the production budget calls for producing 6,700 units in may and 7,100 units in june. if the direct labor work force is fully adjusted to the total direct labor-hours needed each month, what would be the total combined direct labor cost for the two months?