Example 5 (Income Statement): De Facto Company's Inventory Conditions are as follows: NOV 1 Nov 30 42.000 $ 28.000 $ 96.000 $ 80.000 $ 58.000 $ 57.000 $ Raw Material Inventory W-1-P Inventory Finished Goods Inventory During November, following transactions occured as follows: Purchase of raw materials in cash 32.000 $ Total Payroll in November is 105.000$. 80.000$ of it, is direct labor, whereas 25.000$ belongs to advertising expenses. 3 Total Utilities in November is 7.000$. 4000 $of it, is the heat &light of production plant, whereas 3.000 belongs to utilities of headquarters building. 4 Total Rents in November is 16.000 $. 10.000$ of it, is paid for production plant, where as 6.000 $ is paid for headquarters building. Raw Materials, which cost 13.000$, is transferred to W-I-P Inventory. W-1-P Materials, which cost 25.000 $, is transferred to Finished Goods Inventory. Total Sales in November is 260.000$; 200.000 $ in cash, 60.000 $ will be paid later. i) Do the journal entries for November II) Find the cost of raw materials used during November (Raw. Mat, Inv.) i) Find the cost of W-1-P Inventory during November [v) Find the cost of Finished Goods Inventory during November v) Calculate the Net Income (Income befor taxes at the end of November)