Additional information:Inventory at 2021 December 31: $Raw materials 62 800Work-in-progress 15 100Finished goods 36 500i. At 2021 December 31, rent of $3 500 was owing and prepaid light and heat amounted to $1 700. ii. Rent, light and heat are apportioned as follows: factory 60%, administration 40%.iii. Factory machinery is to be depreciated using the straight-line method at 10%.iv. Office equipment is to be depreciated by the reducing balance method at 15%A. Prepare the Manufacturing Account for year ended 2021 December 31. B. Prepare the Income Statement for year ended 2021 December 31. James Limited manufactures bicycle parts but also purchases some parts for resale. The followinginformation is available for year ended 2021 December 31:Inventory at 2021 January 01$Raw materials63 000Work-in-progress17 000Finished goods16 480Sales of finished goods922 500Purchases of finished goods61 700Purchases of raw materials358 100Carriage of finished goods2 400Carriage of raw materials1 400Machine operators' wages153 500Factory supervisor's salary48 100Administrative and sales wages62 100Factory machinery at cost228 000Office equipment at cost180 000Provision for depreciation of factory machinery45 60027 000Provision for depreciation of office equipmentRent76 500Light and heat39 800

Name: Additional information:Inventory at 2021 December 31:
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Description: Additional information:Inventory at 2021 December 31: $Raw materials 62 800Work-in-progress 15 100Finished goods 36 500i. At 2021 December 31, rent of $3 500 was owing and prepa

The income statement summarizes a business's financial results over a given of time. The income…

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Additional information: Inventory at 2021 December 31: $ Raw materials 62 800 Work-in-progress 15 100 Finished goods 36 500 i. At 2021 December 31, rent of $3 500 was owing and prepaid light and heat amounted to $1 700. ii. Rent, light and heat are apportioned as follows: factory 60%, administration 40%. iii. Factory machinery is to be depreciated using the straight-line method at 10%. iv. Office equipment is to be depreciated by the reducing balance method at 15% A. Prepare the Manufacturing Account for year ended 2021 December 31. B. Prepare the Income Statement for year ended 2021 December 31.

Additional information: Inventory at 2021 December 31: $ Raw materials 62 800 Work-in-progress 15 100 Finished goods 36 500 i. At 2021 December 31, rent of $3 500 was owing and prepaid light and heat amounted to $1 700. ii. Rent, light and heat are apportioned as follows: factory 60%, administration 40%. iii. Factory machinery is to be depreciated using the straight-line method at 10%. iv. Office equipment is to be depreciated by the reducing balance method at 15% A. Prepare the Manufacturing Account for year ended 2021 December 31. B. Prepare the Income Statement for year ended 2021 December 31.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 17P: Allen Company is a wholesale distributor of automotive replacement parts. Initial amounts taken from...

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James Limited manufactures bicycle parts but also purchases some parts for resale. The following information is available for year ended 2021 December 31: Inventory at 2021 January 01 Raw materials $63 000 Work-in-progress 17 000 Finished goods 16 480 Sales of finished goods $922 500 Purchases of finished goods 61 700 Purchases of raw materials 358 100 Carriage of finished goods 2 400 Carriage of raw materials 1 400 Machine operators’ wages 153 500 Factory supervisor’s salary 48 100 Administrative and sales wages 62 100 Factory machinery at cost 228 000 Office equipment at cost 180 000 Provision for depreciation of factory machinery 45 600 Provision for depreciation of office equipment 27 000 Rent 76 500 Light and heat 39 800Additional information: Inventory at 2021 December 31: Raw materials 62 800 Work-in-progress 15 100 Finished goods 36 500 i. At 2021 December 31, rent of $3 500 was owing and prepaid light and heat amounted to $1 700. ii. Rent, light and heat are apportioned as…
Bubba Manufacturing Company provided the following information for the fiscal year toJune 30, 2020:Inventories 01/07/2019 30/06/2020Direct MaterialsWork-in-ProcessFinished Goods$72,000107,000149,500$65,000128,000141,700Other information:Office cleaner’s wages 4,500Sales Revenue 1,031,000Raw materials purchased 235,000Factory wages 239,700Indirect materials 23,500Delivery truck driver’s wages 15,400Indirect labor 9,500Depreciation on factory plant & equipment 32,000Insurance 1 60,000Depreciation on delivery truck 7,250Utilities 2 118,750Administrative salaries 41,250Special Design Costs 5,000Selling expenses 9,000Sales Commission 2% of gross profit1 Of the total insurance, 66⅔% relates to the factory facilities & 33⅓% relates to general& administrative costs.2 Of the total utilities, 80% relates to the manufacturing facilities & 20% relates to theoffice area.Requirements:a) What was the amount of direct materials used in production?b) What was the amount of manufacturing…
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STAY AT HOME Co.limited is a manufacturing company producing Nose mask in large quantities . The following balances were extracted from it's books on 30th September ,2019. Inventory 01/10/2018. Gh Raw materials. 28,800 Work -in- progress 39,000 Sales (114,000 pieces at Gh 5 each ) 570,000 Carriage on raw materials 1,470 General expenses. 25,200 Selling expenses 51,840 Plant machinery 250,280 Land 50,000 Bank overdraft 32,120 Retained earnings 816 Ordinary share capital 200,000 8% preference share capital 22,000 Goodwill 40,0000 Bad debt. 830 Trade receivables 36,433 Discount allowed 1,440 Sundry payables 56,636 Trade investment 8,840 Advertising 2,250 Discount received. 1,920…
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