Question
A) The following calendar year-end information is taken from the December 31, 2015, adjusted trial balance and other records of Leone Company Advertising expense $
A) The following calendar year-end information is taken from the December 31, 2015, adjusted trial balance and other records of Leone Company
Advertising expense | $ | 28,750 |
| Direct labor | $ | 675,480 |
|
Depreciation expenseOffice equipment |
| 7,250 |
| Income taxes expense |
| 233,725 |
|
Depreciation expenseSelling equipment |
| 8,600 |
| Indirect labor |
| 56,875 |
|
Depreciation expenseFactory equipment |
| 33,550 |
| Miscellaneous production costs |
| 8,425 |
|
Factory supervision |
| 102,600 |
| Office salaries expense |
| 63,000 |
|
Factory supplies used |
| 7,350 |
| Raw materials purchases |
| 925,000 |
|
Factory utilities |
| 33,000 |
| Rent expenseOffice space |
| 22,000 |
|
Inventories |
|
|
| Rent expenseSelling space |
| 26,100 |
|
Raw materials, December 31, 2014 |
| 166,850 |
| Rent expenseFactory building |
| 76,800 |
|
Raw materials, December 31, 2015 |
| 182,000 |
| Maintenance expenseFactory equipment |
| 35,400 |
|
Work in process, December 31, 2014 |
| 15,700 |
| Sales |
| 4,462,500 |
|
Work in process, December 31, 2015 |
| 19,380 |
| Sales salaries expense |
| 392,560 |
|
Finished goods, December 31, 2014 |
| 167,350 |
|
|
|
|
|
Finished goods, December 31, 2015 |
| 136,490 |
|
|
B) Prepare the companys 2015 income statement that reports separate categories for (a) selling expenses and (b) general administrative expenses.
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