Question

er 2 - Homework Saved Yolo Windows, a manufacturer of windows for commercial buildings, reports the following account information for last year (all costs are in thousands of dollars) $ 88 115 1,610 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 $ 3,660 12,050 8,240 11,640 735 964 2,860 694 1,520 277 45,900 $ 98 149 1,460 Required: 1. Prepare a cost of goods sold statement 2. Prepare an income statement Complete this question by entering your answers in the tabs below. COGS Stmt Income Stmt Prepare a cost of goods sold statement. (Enter your answers in thousands of dollars (.e., 234,000 should be entered as 234)) Prey Next

Answer 1

1. Preparing a Cost of Goods Sold Statement:-

YOLO WINDOWS

Cost of Goods Sold Statement

For the Year Ended December 31

($000)

Description	Amount	Amount	Amount
Beginning Work in Process, Jan. 1			$115
Manufacturing Costs:-
Direct Material:-
Direct Material Inventory, Jan. 1	$88
Add:- Material Purchased	8,240
Direct Material Available	$8,328
Less:- Ending Inventory, Dec. 31	(98)
Cost of Material Used		$8,230
Direct Labor		12,050
Manufacturing Overhead:-
Factory and Machine Depreciation	$11,640
Factory supervision	735
Factory Utilities	964
Indirect factory labor	2,860
Indirect material and supplies	694
Property tax on factory	277
Total Manufacturing Overhead		$17,170
Total Manufacturing Costs			$37,450
Total Cost of Work in Process during the Year			$37,565
Less:- Work in Process Inventory, Dec. 31			(149)
Cost of Goods Manufactured			$37,416
Add:- Finished Goods Inventory,Jan. 1			1,610
Goods Available for sale			$39,026
Less:- Finished Goods Inventory, Dec. 31			(1,460)
Cost of Goods Sold			$37,566

2. Preparing Income Statement:-

YOLO WINDOWS

Income Statement

For the Year Ended December 31

($000)

Accounts	Amount	Amount
Sales Revenue	$45,900
Less:- Cost of Goods Sold	(37,566)
Gross Income		$8,334
Less:- Administrative and Marketing Costs:-
Administrative Costs	$3,660
Marketing Costs	1,520
Total Administrative and Marketing Costs		($5,180)
Net Income		$3,154