Question

yolo windows, a manufacturer of windows for commercial buildings, reports the following account information for last year (all costs are in thousands of dollars)

Uw ICldus library Problem 2-61 (Algo) Prepare Statements for a Manufacturing Company (LO 2-2, 4) Yolo Windows, a manufacturer of windows for commercial buildings, reports the following account information for last year (all costs are in thousands of dollars). $ 82 117 1,620 Information on January 1 (Beginning): Direct materials inventory Work-in-process inventory Finished goods inventory Information for the year : Administrative costs Direct labor Direct materials purchases Factory and machine depreciation Factory supervision Factory utilities Indirect factory labor Indirect materials and supplies Marketing costs Property taxes on factory Sales revenue Information on December 31 (Ending): Direct materials inventory Work-in-process inventory Finished goods inventory $ 3,600 12,250 8.280 11,620 757 953 2,940 676 1,470 270 45,400 91 134 1,500 Required: 1. Prepare a cost of goods sold statement. 2. Prepare an income statement. < Prev 1 of 4 !!! Next >

Answer 1

Ans: Cost of Goods sold Statement

Particulars	Amount( In Thousand)	Amount( In Thousand)
Direct Material Used
Beginning Balance	82
Add: Direct Material Purchased	8,280
Total Direct materil Available	8,362
Less:Ending Balance	91
Total Direct Material Used		8,271
Add: Direct labor		12,250
Add:Manufacturing Overhead
Factory And Machine depreciation	11,620
Factory Supervision	757
Factory utilities	953
Indirect factory labor	2,940
Indirect materials and supplies	676
Property taxes on factory	270
Total manufacturing overhead		17,216
Total Manufacturing costs		37,737
Add;Beginning work in process Inventory		117
		37,854
Less:Ending work in process Inventory		134
Cost of goods Manufactured		37,720
Add:Beginning finished goods inventory		1620
Total goods available for sale		39,340
Less:Ending Finished goods inventory		1500
Cost of goods sold		37,840

Income Statement
For the Year ended December 31
Particulars		Amount(In thousand)
Sales Revenue		45,400
Cost of goods sold		-37840
Gross Profit		7,560
Operating Expenses
Administrative costs	3,600
Marketing costs	1470
Total Operating expenses		5,070
Income from Operations		2,490