he following information is available for The NewQuest Corporation for 2016:

Inventories	January 1	December 31
Materials	$78,900	$93,850
Work in process	109,800	95,500
Finished goods	113,750	109,000

	December 31
Advertising expense	$ 68,200
Depreciation expense-office equipment	21,000
Depreciation expense-factory equipment	14,780
Direct labor	186,800
Heat, light, and power-factory	5,650
Indirect labor	24,700
Materials purchased	123,600
Office salaries expense	74,900
Property taxes-factory	4,000
Property taxes-office building	13,800
Rent expense-factory	6,550
Sales	862,500
Sales salaries expense	138,500
Supplies-factory	2,750
Miscellaneous costs-factory	5,120

Required:

A.

Prepare the 2016 statement of cost of goods manufactured.*

B.

Prepare the 2016 income statement.*

* Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Less or Plus will automatically appear if it is required. Enter all amounts as positive numbers.

X

Statement of Cost of Goods Manufactured

A. Prepare the 2016 statement of cost of goods manufactured. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Less or Plus will automatically appear if it is required. Enter all amounts as positive numbers.

The NewQuest Corporation

Statement of Cost of Goods Manufactured

For the Year Ended December 31, 2016

1
2	Direct materials:
3
4
5
6
7
8
9	Factory overhead:
10
11
12
13
14
15
16
17	Total factory overhead
18
19	Total manufacturing costs
20
21

The following information is available for The NewQuest Corporation for 2016:

Inventories	January 1	December 31
Materials	$78,900	$93,850
Work in process	109,800	95,500
Finished goods	113,750	109,000

	December 31
Advertising expense	$ 68,200
Depreciation expense-office equipment	21,000
Depreciation expense-factory equipment	14,780
Direct labor	186,800
Heat, light, and power-factory	5,650
Indirect labor	24,700
Materials purchased	123,600
Office salaries expense	74,900
Property taxes-factory	4,000
Property taxes-office building	13,800
Rent expense-factory	6,550
Sales	862,500
Sales salaries expense	138,500
Supplies-factory	2,750
Miscellaneous costs-factory	5,120

Required:

A.

Prepare the 2016 statement of cost of goods manufactured.*

B.

Prepare the 2016 income statement.*

* Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Less or Plus will automatically appear if it is required. Enter all amounts as positive numbers.

X

Amount Descriptions

Amount Descriptions
Advertising expense
Cost of direct materials used
Cost of finished goods available for sale
Cost of goods manufactured
Cost of goods sold
Cost of materials available for use
Depreciation expense-factory equipment
Depreciation expense-office equipment
Direct labor
Finished goods inventory, December 31, 2016
Finished goods inventory, January 1, 2016
Gross profit
Heat, light, and power-factory
Indirect labor
Materials inventory, December 31, 2016
Materials inventory, January 1, 2016
Miscellaneous cost-factory
Net income
Office salaries expense
Property taxes-factory
Property taxes-office building
Purchases
Rent expense-factory
Sales
Sales salaries expense
Supplies-factory
Total manufacturing costs incurred
Total operating expenses
Work in process inventory, December 31, 2016
Work in process inventory, January 1, 2016