The american trucking association anticipates a shortage of trucker drivers in coming years as the number of retirees exceeds the number of new drivers who enter the profession. the number of train boxcars is also expected to fall by over 40 percent in coming years because federal regulations limit boxcars to 50 years of service and many currently in use will reach that limit by 2020. lumber and paper producers that depend on boxcars for their shipments fear that they will have to depend more on trucks for transportation, which will cost as much as 20 percent more than shipping by rail. sources: lindsay ellis and laura stevens, "international paper focuses on improving shipment planning, wall street journal, july 30, 2015; and bob tita, "why railroads can't keep enough boxcars in service," wall street journal, june 21, 2015. the reduction in the number of trucks and boxcars will

(a) likely increase transportation costs and shift the short-run aggregate supply curve to the left.
(b) likely affect the short-run aggregate supply curve because of the anticipated shortage of truck drivers.
(c) not likely affect the short-run aggregate supply curve because the change is related to prices, not wages.
(d) not likely affect the short-run aggregate supply curve because the change is related to regulations, not prices.

Required information problem 15-1a production costs computed and recorded; reports prepared lo c2, p1, p2, p3, p4 [the following information applies to the questions displayed below. marcelino co.'s march 31 inventory of raw materials is $84,000. raw materials purchases in april are $540,000, and factory payroll cost in april is $364,000. overhead costs incurred in april are: indirect materials, $59,000; indirect labor, $26,000; factory rent, $38,000; factory utilities, $19,000; and factory equipment depreciation, $58,000. the predetermined overhead rate is 50% of direct labor cost. job 306 is sold for $670,000 cash in april. costs of the three jobs worked on in april follow. job 306 job 307 job 308 balances on march 31 direct materials $30,000 $36,000 direct labor 25,000 14,000 applied overhead 12,500 7,000 costs during april direct materials 133,000 210,000 $100,000 direct labor 105,000 150,000 101,000 applied overhead ? ? ? status on april 30 finished (sold) finished in process (unsold) required: 1. determine the total of each production cost incurred for april (direct labor, direct materials, and applied overhead), and the total cost assigned to each job (including the balances from march 31). a-materials purchases (on credit). b-direct materials used in production. c-direct labor paid and assigned to work in process inventory. d-indirect labor paid and assigned to factory overhead. e-overhead costs applied to work in process inventory. f-actual overhead costs incurred, including indirect materials. (factory rent and utilities are paid in cash.) g-transfer of jobs 306 and 307 to finished goods inventory. h-cost of goods sold for job 306. i-revenue from the sale of job 306. j-assignment of any underapplied or overapplied overhead to the cost of goods sold account. (the amount is not material.) 2. prepare journal entries for the month of april to record the above transactions. 3. prepare a schedule of cost of goods manufactured. 4.1 compute gross profit for april. 4.2 show how to present the inventories on the april 30 balance sheet.