3. Prepare an income statement.ALEXANDRIA ALUMINUM COMPANYIncome StatementFor the Year Ended December 31, 20x1$%24 Alexandria Aluminum Company, a manufacturer of recyclable soda cans, had the following inventorybalances at the beginning and end of 20x1.Inventory ClassificationRaw materialJanuary 1, 20x1$ 60,000120,000150,000December 31, 20x1$ 70,000115,000165,000Work in processFinished goodsDuring 20x1, the company purchased $250,000 of raw material and spent $400,000 on direct labor.Manufacturing overhead costs were as follows:$ 10,00025,000100,00025,00030,000Indirect materialIndirect laborDepreciation on plant and equipmentUtilitiesOtherSales revenue was $1,105,000 for the year. Selling and administrative expenses for the year amounted to$110,000. The firm's tax rate is 40 percent.

Income statement is one of the financial statement which shows all incomes and expenses of the…

Answered: 3. Prepare an income statement.…

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3. Prepare an income statement. ALEXANDRIA ALUMINUM COMPANY Income Statement For the Year Ended December 31, 20x1

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter2: Accounting For Materials

Section: Chapter Questions

Problem 13P: Webster Company uses backflush costing to account for its manufacturing costs. The trigger points...

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COST ALLOCATION AND LOWER-OF-COST-OR-MARKET Hall Companys beginning inventory and purchases during the fiscal year ended December 31, 20--, were as follows: There are 1,100 units of inventory on hand on December 31. REQUIRED 1. Calculate the total amount to be assigned to the ending inventory and cost of goods sold on December 31 under each of the following methods: (a) FIFO (b) LIFO (c) Weighted-average (round calculations to two decimal places) 2. Assume that the market price per unit (cost to replace) of Halls inventory on December 31 was 16. Calculate the total amount to be assigned to the ending inventory on December 31 under each of the following methods: (a) FIFO lower-of-cost-or-market (b) Weighted-average lower-of-cost-or-market 3. Prepare required entries to apply: (a) FIFO lower-of-cost-or-market (b) Weighted-average lower-of-cost-or-market