Manufacturing Income Statement, Statement of Cost of GoodsManufactured
Several items are omitted from the income statement and cost ofgoods manufactured statement data for two different companies forthe month of December:
| On
Company | Off
Company |
| Materials inventory, December 1 | $57,740 | | $75,060 | |
| Materials inventory, December 31 | (a) | | 84,820 | |
| Materials purchased | 146,660 | | (a) | |
| Cost of direct materials used in production | 154,740 | | (b) | |
| Direct labor | 217,680 | | 168,890 | |
| Factory overhead | 67,560 | | 84,070 | |
| Total manufacturing costs incurred in December | (b) | | 485,640 | |
| Total manufacturing costs | 550,840 | | 550,840 | |
| Work in process inventory, December 1 | 110,860 | | 180,890 | |
| Work in process inventory, December 31 | 93,540 | | (c) | |
| Cost of goods manufactured | (c) | | 481,130 | |
| Finished goods inventory, December 1 | 97,580 | | 84,070 | |
| Finished goods inventory, December 31 | 102,200 | | (d) | |
| Sales | 851,090 | | 750,600 | |
| Cost of goods sold | (d) | | 485,640 | |
| Gross profit | (e) | | (e) | |
| Operating expenses | 110,860 | | (f) | |
| Net income | (f) | | 166,630 | |
Required:
1. Determine the amounts of the missing items,identifying them by letter. Enter all amounts as positivenumbers.
| Letter | On Company | Off Company |
| a. | $ | $ |
| b. | $ | $ |
| c. | $ | $ |
| d. | $ | $ |
| e. | $ | $ |
| f. | $ | $ |
2. Prepare On Company's statement of cost ofgoods manufactured for December.
| On Company |
| Statement of Cost of Goods Manufactured |
| For the Month Ended December 31 |
| | | $ |
| Direct materials: | | | |
| $ | | |
| | | |
| $ | | |
| | | |
| | $ | |
| | | |
| | | |
| Total manufacturing costs incurred during December | | | |
| Total manufacturing costs | | | $ |
| | | |
| | | $ |
3. Prepare On Company's income statement forDecember.
| On Company |
| Income Statement |
| For the Month Ended December 31 |
| | $ |
| Cost of goods sold: | | |
| $ | |
| | |
| $ | |
| | |
| | |
| | $ |
| | |
| | $ |
