Question

Question 4 of 4 Prepare an income statement through gross profit. CLARKSON COMPANY (Partial) Income Statement $ > $ e Textbook and Media List of Accounts Attempts:O of 15cused Submit Answer MacBook Pr e G Search or type URL A 2 3 4 5 & 7 6 8 ( 9 ) 0 W E R T Y U 0 S D F G H

Answer 1

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Clarkson
Answer 1
Cost of goods manufactured statement	Amount $	Amount $	Amount $
Work in process inventory, July 1			21,300.00
Cost of direct materials used in production
Materials inventory, July 1	57,500.00
Raw material Purchases	99,400.00
Cost of materials available for use	156,900.00
Less: Materials inventory, June 30	(41,500.00)
Cost of direct materials used in production		115,400.00
Direct Labor		142,650.00
Manufacturing Overhead
Indirect Labor	26,760.00
Factory Insurance	4,900.00
Factory Machinery Depreciation	17,000.00
Factory Utilities	31,100.00
Plant manager's salary	65,100.00
Factory property taxes	9,610.00
Factory repairs	1,500.00
Total Manufacturing Overhead		155,970.00
Total Manufacturing costs incurred			414,020.00
Total cost of work in process			435,320.00
Less: Work in process inventory, June 30			(28,200.00)
Cost of goods manufactured			407,120.00
Answer 2
Income Statement	Amount $	Amount $
Sales Revenue	561,300.00
Less: Sales Discounts	(4,300.00)
Net Sales Revenue		557,000.00
Less: Cost of goods sold
Finished goods inventory, July 1	96,300.00
Add: Cost of goods manufactured	407,120.00
Cost of goods available for sale	503,420.00
Less: Finished goods inventory, June 30	(22,100.00)
Cost of goods sold		481,320.00
Gross Profit		75,680.00
Less: Operating costs
Office utilities expense	8,550.00
Total Operating costs		8,550.00
Net Income		67,130.00