Prepare the Cost of Goods Manufactured and the Income statement based on the following numbers:
Inventories: Materials. . . .Beginning $65,000; ending $35,000
Work in process . . . Beginning 30,000; ending 24,000
Finished goods. . . . . Beginning 60,000; ending 62,000
Manufacturing costs incurred during 2012:
Materials purchased and used.- $100,000
Direct Labor-110,000
Factory Overhead:
Indirect Labor $24,000
Depreciation on factory equipment $10,000
Factory supplies and utility costs $10,000
Sales - $366,000
Selling expenses- 20,000
Administrative expenses -15,000