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Donald, Inc. produces protective covers for cell phones. For last year, the company arted the following: Work in process inventory, January1 $13,250 Work in process
Donald, Inc. produces protective covers for cell phones. For last year, the company arted the following: Work in process inventory, January1 $13,250 Work in process inventory, December 31 28,250 Finished Goods Inventory, January 1 113.000 Finished Goods Inventory, December 31 85,000 Direct Materials Inventory, January 1 3,450 Direct Materials Inventory, December 31 2,700 Direct Materials Purchased 183,750 138.000 Direct Labor Plant Depreciation Salary, Production Supervisor 19,500 Indirect Labor 47,000 68,300 15,700 42,000 75,000 Utilities, Factory Sales Commissions Salary, Sales Supervisor Depreciation Factory Equipment Administrative Expenses Supplies (40% used in the factory, 60% used in the sales office) 32,000 168,000 18,000 43,600 Advertising Expense Last year, the company produced 89,000 units and sold 90,500 units at $10.50 per unit Required: 1) Determine the cost of goods sold for the last year(show your work) 2) Prepare an income statement for financial reporting purposes
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