Question

Need correct answers with workings to this question asap! I've given all the information below with a drop-down list, and please follow whatever is given, this all the information I have!

Question 5)

Question 5 Tombert Company is a manufacturer of computers. Its controller resigned in October 2020. An inexperienced assistant accountant has prepared the following income statement for the month of October 2020. TOMBERT COMPANY Income Statement For the Month Ended October 31, 2020 Sales (net) $ 785,000 Less: Operating expenses Raw materials purchases $264,250 Direct labour cost 190,850 Advertising expense 89,450 Selling and administrative salaries 74,200 Rent on factory facilities 60,900 Depreciation on sales equipment 44,000 Depreciation on factory equipment 31,250 Indirect labour cost 28,350 Utilities expense 12,700 Insurance expense 8,550 804,500 Net Loss $(19,500) Prior to October 2020, the company had been profitable every month. The company's president is concerned about the accuracy of the income statement. As his friend, he has asked you to review the income statement and make necessary corrections. After examining other manufacturing cost data, you have acquired the following additional information.

Answer 1

Working notes: Amount $12,700 $8,550 Selling & Admin 25% 42% Factory 75% 58% Utilities expense Insurance expense Selling & Factory Admin $9,525 $3,175 $4,959 $3,591 $16,400 $236,300 $190,850 TOMBERT COMPANY Statement of Cost of Goods Manufactured For the Year Month Ended October 31, 2020 Work in process inventory, October 1st Direct materials: Raw Materials inventory, October 1st $2,050 Purchases $264,250 Total raw materials available for use $266,300 Less: Raw materials inventory, October 31st $30,000 Direct material used Direct labor Manufacturing overhead Indirect labor $28,350 Rent of Factory facilities $60,900 Depreciation on factory equipment $31,250 Factory insurance $4,959 Factory Utilities $9,525 Total Manufacturing overhead Total manufacturing costs Total cost of work in process Less work in process inventory, October 31st Cost of goods manufactured $134,984 $562,134 $578,534 $14,650 $563,884 $785,000 TOMBERT COMPANY Income Statement For the Year Month Ended October 31, 2020 Sales Cost of goods sold Finished goods inventory, October 1 $30,800 Cost of goods manufactured $563,884 Cost of goods available for sale $594,684 Less: Finished goods inventory, October 31 $45,500 Less: Cost of goods sold Gross profit Selling and administrative expenses Advertising expense $89,450 Selling and administrative salaries $74,200 Depreciation on sales equipment $44,000 Insurance expense $3,591 Utilities expense $3,175 Total operating expenses Net Income from Operations $549,184 $235,816 $214,416 $21,400