The following information has been taken from the accounting records of Manufacturing company for year December, 2019: ParticularsAmountRaw materials inventory, January 1$300,000Raw materials inventory, December 31 50,000Selling expenses 50,000Utilities, factory 50,000Direct labor cost 40,000Depreciation, factory 30,000Purchase of raw materials2,500,000Sales5,000,000Insurance, factory 50,000Supplies, factory 30,000Administrative expenses 150,000Indirect labor 50,000Maintenance, factory 100,000Work in progress inventory, January 1 150,000Work in progress inventory, December 31 100,000Finished goods inventory, January 1 250,000Finished goods inventory, December 31 100,000 Management wants these date organized in a better format so that financial statements can be prepared for the year. Required:Prepare a schedule of cost of goods manufactured.Prepare the cost of goods soldPrepare a pro forma income statement for December, 2019.

Cost of Goods manufactured is total cost of goods which are manufactured in the factory. Prime cost…

Answered: Manufacturing company for year…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter1: Introduction To Cost Accounting

Section: Chapter Questions

Problem 9P: Glasson Manufacturing Co. produces only one product. You have obtained the following information...

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The following information has been taken from the accounting records of

Manufacturing company for year December, 2019:

Particulars	Amount
Raw materials inventory, January 1	$300,000
Raw materials inventory, December 31	50,000
Selling expenses	50,000
Utilities, factory	50,000
Direct labor cost	40,000
Depreciation, factory	30,000
Purchase of raw materials	2,500,000
Sales	5,000,000
Insurance, factory	50,000
Supplies, factory	30,000
Administrative expenses	150,000
Indirect labor	50,000
Maintenance, factory	100,000
Work in progress inventory, January 1	150,000
Work in progress inventory, December 31	100,000
Finished goods inventory, January 1	250,000
Finished goods inventory, December 31	100,000

Management wants these date organized in a better format so that financial statements can be prepared for the year.

Required:

Prepare a schedule of cost of goods manufactured.
Prepare the cost of goods sold
Prepare a pro forma income statement for December, 2019.

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