(CGM and CGS) Billy Tubbs Inc. began business in July 2006. The firm makes an exercise machine for home and gym use. Following are data taken from the firm’s accounting records that pertain to its first year of operations.

a. How many units did the company sell in its first year? How many units were completed in the first year?

b. What was the cost of goods manufactured?

c. What was the per-unit cost of goods manufactured?

d. What was the cost of goods sold in the first year?

e. What was the company’s first-year gross margin?LO1. 

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Direct material purchased on account Direct material issued to production Direct labor payroll accrued Indirect labor payroll paid $450,000 424,000 236,000 90,600 Factory insurance expired 6,000 Factory utilities paid 17,800 Factory depreciation recorded. 35,800 Ending Work in Process Inventory (96 units) 111,000 Ending Finished Goods Inventory (30 units) 91,200 Sales on account ($3,700 per unit) 740,000