Financial Statements of a Manufacturing Firm

The following events took place for Digital Vibe Manufacturing Company during January, the first month of its operations as a producer of digital video monitors:

1. Purchased $46,800 of materials
2. Used $36,000 of direct materials in production.
3. Incurred $53,800 of direct labor wages.
4. Incurred $75,800 of factory overhead.
5. Transferred $125,900 of work in process to finished goods.
6. Sold goods for $225,100.
7. Sold goods with a cost of $100,200.
8. Incurred $57,600 of selling expenses.
9. Incurred $25,300 of administrative expense.

Using the information given, complete the following:

a. Prepare the January income statement for Digital Vibe Manufacturing Company.

Digital Vibe Manufacturing Company Income Statement For the Month Ended January 31

Revenues		$____
Cost of goods sold		____
Gross profit		$____
Operating expenses:
Selling expenses	$ 57,600
Administrative expenses	$ 25,300
Total operating expenses		$ 82,900
Net Income		$____