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Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016 Sales Purchases of materials (1) $ 1,428,100 251,690 268,700 38,100 28,700 51,600 85,000 65,700 52,000 51,000 23,500 399,000 Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 113,110 Notes (1) 80% of the materials were direct (2) 70% direct labour, 30% indirect labour (3) 80%...
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value: 10.00 points Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016. Sales Purchases of materials (1) Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 1,378,600 246,740 266,900 37,200 27,800 49,800 92,000 63,900 43,000 42,000 22,600 390,000 96,660 Notes: (1) 80% of the materials were direct (2) 70% direct labour; 30% indirect labour...
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value: 10.00 points Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016. Sales Purchases of materials (1) Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 1,378,600 246,740 266,900 37,200 27,800 49,800 92,000 63,900 43,000 42,000 22,600 390,000 96,660 Notes: (1) 80% of the materials were direct (2) 70% direct labour; 30% indirect labour...
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An accountant for Lisbon Company, prepared the following amounts to include on the financial statements for the period ending September 30, 2021. Include calculation/formula. Sales Purchases of materials Manufacturing labor Advertising Administrative travel Manufacturing utilities Facility rental Depreciation Sales commissions Insurance Office utilities Management salaries 1,200,000 250,000 270,000 37,000 27,000 49,000 90,000 60,000 31,000 40,000 25,000 380,000 • The purchase of materials included 20% indirect materials. 40% of the manufacturing labor was for indirect manufacturing labor The facility was used...
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PART A Pat Fike, accountant for Nozama Company, prepared the following amounts to include on the financial statements for the period ending August 31, 20XX. Sales S1,200,000 Purchases of materials 250,000 Manufacturing labor 270,000 Advertising 37.000 Administrative travel 27,000 Manufacturing utilities 49,000 Facility rental 90,000 Depreciation 60,000 Sales commissions 31,000 Insurance 40,000 Office utilities 25,000 Management salaries 380,000 • The purchase of materials included 20% indirect materials. • 40% of the manufacturing labor was for indirect manufacturing labor • The...
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Statement of Cost of Goods Manufactured and Income Statement for a Manufacturing Company The following information is available for Shanika Company for 20Y6: Inventories Materials Work in process 768,240 Finished goods January 1 December 31 $537,770 731,370 747,500 $426,800 738,360 Advertising expense Depreciation expense-office equipment Depreciation expense-factory equipment Direct labor Heat, light, and power-factory Indirect labor Materials purchased Office salaries expense Property taxes-factory Property taxes-headquarters building Rent expense-factory Sales Sales salaries expense Supplies-factory Miscellaneous costs-factory $365,150 51,630 69,370 828,170 27,430...
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Howard Manufacturing Company had the following account balances
for the quarter ending March 31, unless otherwise noted:
Work-in-process inventory (January 1) $ 140,400
Work-in-process inventory (March 31) 171,000
Finished goods inventory (January 1) 540,000
Finished goods inventory (March 31) 510,000
Direct materials used 420,000
Indirect materials used 84,000
Direct manufacturing labor 480,000
Indirect manufacturing labor 186,000
Property taxes on manufacturing plant building 28,800
Salespersons' company vehicle costs 12,000
Depreciation of manufacturing equipment 264,000
Depreciation of office equipment 123,600
Miscellaneous plant...
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Pat Fike, accountant for Nozama Company, prepared the following amounts to include on the financial statements for the period ending August 31, 20XX. Sales $1,200,000 Purchases of materials 250,000 Manufacturing labor 270,000 Advertising 37,000 Administrative travel 27,000 Manufacturing utilities 49,000 Facility rental 90,000 Depreciation 60,000 Sales commissions I 31,000 Insurance 40,000 Office utilities 25,000 Management salaries 380,000 The purchase of materials included 20% indirect materials. 40% of the manufacturing labor was for indirect manufacturing labor The facility was used partly...
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: You are an accountant of a medium-sized manufacturing company.
You prepared the income statement for 2018 that showed net income
of $10 million and a statement of cash flows, using the indirect
method, that showed cash flow from operating activities of negative
$10 million. This just didn't make sense to your boss.
Prepare a memo explaining:
1. How net income could be positive and operating cash flows
negative. Include in your report:
2. How operating cash flows using the...
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Statement of Cost of Goods Manufactured and Income Statement for
a Manufacturing Company
The following information is available for Shanika Company for
20Y6:
Inventories
January 1
December 31
Materials
$216,380
$270,480
Work in process
389,480
367,850
Finished goods
374,340
375,970
Advertising expense
$183,660
Depreciation expense-office equipment
25,970
Depreciation expense-factory equipment
34,890
Direct labor
416,540
Heat, light, and power-factory
13,790
Indirect labor
48,690
Materials purchased
408,420
Office salaries expense
142,540
Property taxes-factory
11,360
Property taxes-headquarters building
23,530
Rent expense-factory
19,200
Sales...
Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016 Sales Purchases of materials (1) $ 1,428,100 251,690 268,700 38,100 28,700 51,600 85,000 65,700 52,000 51,000 23,500 399,000 Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 113,110 Notes (1) 80% of the materials were direct (2) 70% direct labour, 30% indirect labour (3) 80%...
value: 10.00 points Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016. Sales Purchases of materials (1) Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 1,378,600 246,740 266,900 37,200 27,800 49,800 92,000 63,900 43,000 42,000 22,600 390,000 96,660 Notes: (1) 80% of the materials were direct (2) 70% direct labour; 30% indirect labour...
value: 10.00 points Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2016. Sales Purchases of materials (1) Payroll (2) Advertising Administrative travel Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income $ 1,378,600 246,740 266,900 37,200 27,800 49,800 92,000 63,900 43,000 42,000 22,600 390,000 96,660 Notes: (1) 80% of the materials were direct (2) 70% direct labour; 30% indirect labour...
An accountant for Lisbon Company, prepared the following amounts to include on the financial statements for the period ending September 30, 2021. Include calculation/formula. Sales Purchases of materials Manufacturing labor Advertising Administrative travel Manufacturing utilities Facility rental Depreciation Sales commissions Insurance Office utilities Management salaries 1,200,000 250,000 270,000 37,000 27,000 49,000 90,000 60,000 31,000 40,000 25,000 380,000 • The purchase of materials included 20% indirect materials. 40% of the manufacturing labor was for indirect manufacturing labor The facility was used...
PART A Pat Fike, accountant for Nozama Company, prepared the following amounts to include on the financial statements for the period ending August 31, 20XX. Sales S1,200,000 Purchases of materials 250,000 Manufacturing labor 270,000 Advertising 37.000 Administrative travel 27,000 Manufacturing utilities 49,000 Facility rental 90,000 Depreciation 60,000 Sales commissions 31,000 Insurance 40,000 Office utilities 25,000 Management salaries 380,000 • The purchase of materials included 20% indirect materials. • 40% of the manufacturing labor was for indirect manufacturing labor • The...
Statement of Cost of Goods Manufactured and Income Statement for a Manufacturing Company The following information is available for Shanika Company for 20Y6: Inventories Materials Work in process 768,240 Finished goods January 1 December 31 $537,770 731,370 747,500 $426,800 738,360 Advertising expense Depreciation expense-office equipment Depreciation expense-factory equipment Direct labor Heat, light, and power-factory Indirect labor Materials purchased Office salaries expense Property taxes-factory Property taxes-headquarters building Rent expense-factory Sales Sales salaries expense Supplies-factory Miscellaneous costs-factory $365,150 51,630 69,370 828,170 27,430...
Pat Fike, accountant for Nozama Company, prepared the following amounts to include on the financial statements for the period ending August 31, 20XX. Sales $1,200,000 Purchases of materials 250,000 Manufacturing labor 270,000 Advertising 37,000 Administrative travel 27,000 Manufacturing utilities 49,000 Facility rental 90,000 Depreciation 60,000 Sales commissions I 31,000 Insurance 40,000 Office utilities 25,000 Management salaries 380,000 The purchase of materials included 20% indirect materials. 40% of the manufacturing labor was for indirect manufacturing labor The facility was used partly...