Cost of Goods Manufactured

Norco Bicycle Company manufactures bicycles which have the following selected account balances for the year ended December 31, 2020: Insurance (80% related to Manufacturing & 20% to Administration) Direct Labour Advertising Expense Utilities (75% related to Manufacturing & 25% to Administration) Material/Supplies used for cleaning the Manufacturing plant Purchases of Raw Materials Maintenance, Factory (manufacturing) Sales Commissions Labour for cleaning and supervision in the Manufacturing plant Administrative & Sales Salaries Direct Materials Rent (70% related to Manufacturing & 30% to Administration) Labour for cleaning in the Administrative offices $120,000 $240,000 $60,000 $64,000 $25,000 ? $22,000 $85,000 $108,000 $142,000 ? $100,000 $15,000 Beginning of the End of the Inventory balances at the beginning and end of the year were as follows: Year Year Raw Materials $52,000 $40,000 Work in Process ? $62,000 Finished Goods $48,000 $85,000 Norco's total manufacturing costs for the year were $707,000, and the costs of goods sold (cogs) for the year totaled $690,000. Assume that they manufactured 1,000 electric bicycles in 2020. Total Sales Revenue for the year was $1,290,000. Required: 1) Prepare a schedule of the cost of goods manufactured. 2) Prepare an income statement for 2020 (in good form). (20 marks)