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Comprehensive Problem \#2 Superior Manufacturing Company has the following cost and expense data for the year ending December 31, 2012. Raw materials, 1/1/12$30,000 Raw materials, 12/31/1220,000 Raw materials purchases 205,000 Work in process, 1/1/1280,000 Work in process, 12/31/1250,000 Direct labor 350,000 Indirect labor 90,000 Factory utilities 65,000 Factory machinery rent 40,000 Factory manager's salary 35,000 Depreciation, factory building 24,000 Indirect materials 15,000 Insurance, factory $14,000 Property taxes, factory building 6,000 Finished goods, 1/1/12110,000 Finished goods, 12/31/12 120,000 Sales (net) 1,500,000 Delivery expenses 100,000 Sales commissions 150,000 Administrative expenses 300,000 Instructions (a) Prepare a cost of goods manufactured schedule for Superior Company for 2012. (b) Prepare an income statement for Superior Company for 2012. (c) Assume that Superior Company's ledgers show the balances of the following current asset accounts: Cash $17,000, Accounts Receivable (net) $120,000, Prepaid Expenses $13,000, and Short-term Investments $26,000. Prepare the current assets section of the balance sheet for Superior Company as of December 31, 2012. Start with beginning work in process as the first item in the cost of goods manufactured schedule. Sum direct materials used, direct labor, and total manufacturing overhead to determine total manufacturing costs. Sum beginning work in process and total manufacturing costs to determine total cost of work in process. Cost of goods manufactured is the total cost of work in process less ending work in process. In the cost of goods sold section of the income statement, show beginning and ending finished goods inventory and cost of goods manufactured

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