C ZOOM + Acctg 1B - Chapter 15 Practice Problem Directions: Use the below information to prepare a Manufacturing Statement & Income Statement for Happiness Toy Company for the year ended December 31, 2020: Materials, January 1 Depreciation Expense, Corporate Building Sales Revenue Accounts Receivable Property Taxes - Factory Direct Labor Depreciation Expense - Factory Equipment Factory Equipment Office Salaries Expense Work in Process, December 31 Utilities - Office Building Finished Goods Inventory, December 31 Advertising Expense Supplies Used - Factory Factory Building Indirect Labor 305,600 Indirect Materials 95,850 Work in Process, January 1 8,500,000 Supervisory's Salary 75,000 Materials, December 31 95,200 Amorization Expense - Factory Patents 650,000 Heat, Light & Power - Factory 21,000 Materials Purchases 105,000 Factory Machinery 1,250,000 Office Supplies Expense 500,770 Finished Goods Inventory, January 1 125,000 Maintenance & Repairs - Factory 3,895,000 Depreciation Expense, Factory Building 321,000 Property Taxes, Office Building 26,800 Insurance Expense - Factory 2,500,000 Sales Commissions 172,000 Factory Patents 48,160 280,900 196,000 275,000 15,500 5,000 490,000 800,000 11,200 5,250,000 64,110 575,000 289,000 30.500 88,000 310,000 Please note that Factory Patents are an asset. Amortization Expense-Factory Patents should be included on the Manufacturing Statement with Factory Overhead items. Amortization is similar to depreciation expense