5. The following cost and inventory data for the just completed year are taken from the accounting records of Ruhan Company:

Advertising expense tk. 100,000

Sales discount tk.1,000

Purchase return tk.2,000

Return inwards tk. 1,500

Purchase discount tk.3,000

Bad debts tk.4,000

Insurance tk.10,000

Income tax tk.6,000

Fuel and power tk.14,000

Heat and light tk,3,200

Bond interest tk. 5,000

Direct Labor cost tk. 80,000

Rent factory building tk. 70,000

Purchase of raw materials tk. 130,000

Indirect Labor tk. 50,000

Interest on working capital tk 5,000

Sales Commission tk. 35,000

Utilities, factory tk. 9,000

Maintenance, factory equipment tk. 24,000

Supplies factory tk. 800

Depreciation, office equipment tk. 9,000

Depreciation, factory equipment tk. 40,000

Selling and administration exp. tk. 20,000

Total sales for the year tk. 10,00,000

Inventories: Beginning of year End of year

Raw materials tk. 7,000 Tk. 8,000

Work-in-process tk. 6,000 tk. 10,000

Finished goods tk. 30,000 tk. 15,000

Insurance cost should be considered for factory, office & administration and selling & distribution 40%; 30% and 30% respectively. Required :

Prepare a cost statement and Income statement