Evans & sons, inc., received notification from a local attorney that the company was being sued for $5,000,000 for patent infringement. a review of the situation by the company’s ceo led to the conclusion that evans & sons had indeed infringed upon the other company’s patented product. nonetheless, the ceo thought the amount of $5,000,000 was excessive and intended to litigate the issue. how should the lawsuit be reported in evans & sons’ annual report?

Dozier company produced and sold 1,000 units during its first month of operations. it reported the following costs and expenses for the month: direct materials $ 69,000 direct labor $ 35,000 variable manufacturing overhead $ 15,000 fixed manufacturing overhead 28,000 total manufacturing overhead $ 43,000 variable selling expense $ 12,000 fixed selling expense 18,000 total selling expense $ 30,000 variable administrative expense $ 4,000 fixed administrative expense 25,000 total administrative expense $ 29,000 required: 1. with respect to cost classifications for preparing financial statements: a. what is the total product cost