1. Tombert Company is a manufacturer of computers. Its controller resigned in October 2020. An inexperienced assistant accountant has prepared the following income statement for the month of October 2020.

TOMBERT COMPANY Income Statement For the Month Ended October 31, 2020
Sales (net)				$ 785,000
Less: Operating expenses
Raw materials purchases		$264,250
Direct labour cost		190,850
Advertising expense		89,450
Selling and administrative salaries		74,200
Rent on factory facilities		60,900
Depreciation on sales equipment		44,000
Depreciation on factory equipment		31,250
Indirect labour cost		28,350
Utilities expense		12,700
Insurance expense		8,550		804,500
Net Loss				$(19,500)

Prior to October 2020, the company had been profitable every month. The company's president is concerned about the accuracy of the income statement. As his friend, he has asked you to review.

t he income statement and make necessary corrections. After examining other manufacturing cost data, you have acquired the following additional information. 1. Inventory balances at the beginning and end of October were as follows:

		October 1		October 31
Raw materials		$2,050		$30,000
Work in process		16,400		14,650
Finished goods		30,800		45,500

Prepare a schedule of the cost of goods manufactured for October 2020.

TOMBERT COMPANY Cost of Goods Manufactured Schedule For the Month Ended October 31, 2020
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31						$
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31		$
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
AddLess: Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31				$
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
AddLess: Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31
Cost of Goods ManufacturedDepreciation on Factory EquipmentDirect LabourDirect MaterialsDirect Materials UsedRent on Factory FacilitiesFactory InsuranceFactory UtilitiesIndirect LabourManufacturing OverheadRaw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesTotal Cost of Work in ProcessTotal Manufacturing CostsTotal Manufacturing OverheadTotal Raw Materials Available for UseWork in Process Inventory, October 1Work in Process Inventory, October 31Finished Goods Inventory, October 1Finished Goods Inventory, October 31						$

Prepare a correct income statement for October 2020. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

WWL COMPANY Income Statement October 31, 2020For the Month Ended October 31, 2020For the Year Ended October 31, 2020
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour		$
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour	$
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
AddLess: Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour
Advertising ExpenseCost of Goods Available for SaleCost of Goods ManufacturedCost of Goods SoldDepreciation Expense on Sales EquipmentFinished Goods Inventory, October 1Finished Goods Inventory, October 31Gross ProfitInsurance ExpenseNet Income / (Loss)Operating ExpensesSalesSelling and Administrative SalariesTotal Operating ExpensesUtilities ExpenseWork in Process Inventory, October 1Work in Process Inventory, October 31Raw Materials Inventory, October 1Raw Materials Inventory, October 31Raw Materials PurchasesDepreciation on Factory EquipmentManufacturing OverheadRent on Factory FacilitiesFactory UtilitiesFactory InsuranceDirect MaterialsDirect LabourIndirect Labour		$

2. Only 75% of the utilities expense and 58% of the insurance expense apply to factory operations. The remaining amounts should be charged to selling and administrative activities.

2. Manufacturing cost data for WWL Company are presented below: Provide the missing amounts.

Direct materials used Direct labour Manufacturing overhead Total manufacturing costs Work in process (1/1/20) Total cost of work in process Work in process (12/31/20) Cost of goods manufactured Case A 47,700 45,300 175,300 222,300 180,525 (b) (C) Case B $68,900 87,000 82,400 15,800 12,400 (cl) (f) Case C $130,000 100,800 275,100 338,900 96,400 (g) (h) (i)