50.1K

Verified Solution

Link Copied!

heres some information I need you to help make sense of. He then handed you some information as shown in Appendix A. Can you put them into a format that I can actually understand and make sense of?

The preparation of an Income Statement and Schedule of Cost of Goods Manufactured.

Schedule of Cost of Goods Manufactured

• Particular		Amount in $
  Raw material consumed
  Direct materials, Jul 1, 2020	$300,000
  Direct material purchased	800,000
  Direct materials, Jun 30, 2021	(50,000)
  Raw material consumed		$1,050,000
  Direct Labor
  Direct manufacturing labor		400,000
  Manufacturing Overhead
  Plant utilities	50,000
  Indirect manufacturing labor	200,000
  Depreciation - Plant and equipment	90,000
  Depreciation - retail store equipment	55,000
  Miscellaneous manufacturing overhead	100,000
  Plant supplies used	60,000
  Property taxes on plant	10,000
  Total Manufacturing Overhead		565,000
  Total Manufacturing costs		2,015,000
  Add Work in progress, Jul 1 2020		100,000
  Less Work in progress, Jun 30, 2021		(20,000)
  Cost of Goods Manufactured		2,095,000

  Income Statement
  Particular		Amount in $
  Revenues		$3,500,000
  Cost of Goods Sold:
  Cost of Goods Manufactured	2,095,000
  Add Finished goods, Jul 1, 2020	400,000
  Less Finished goods, Jun 30, 2021	(120,000)
  Cost of Goods Sold		2,375,000
  Gross Profit		1,125,000
  Operating Expenses:
  Store and Administrative Expenses
  Retail store utilities	20,000
  Miscellaneous retail store overhead	70,000
  Council rates for retails store	3,000
  Total Store and Administrative Expenses		93,000
  Selling and distribution Expenses
  Sales salaries and commission	350,000
  Marketing, distribution and customer service costs	190,000
  Total Selling and distribution Expenses		540,000
  Total Operating Expenses		633,000
  Operating income		492,000

question

Could you select and apply the most appropriate methods to further analyse data and create useful information?

Answer & Explanation Solved by verified expert

See Answer