Income Statement, Cost of Goods Manufactured Spencer Company produced 200,000 cases of sports drinks during the past calendar year. Each case of 1-liter bottles sells for $37. Spencer had 2,500 cases of sports drinks in finished goods inventory at the beginning of the year. At the end of the year, there were 11,500 cases of sports drinks in finished goods inventory. Spencer's accounting records provide the following information: Purchases of direct materials $2,360,000 Direct materials inventory, January 1 290,000 Direct materials inventory, December 31 110,000 Direct labor 1,100,000 Indirect labor 334,000 Depreciation, factory building 525,000 Depreciation, factory equipment 416,000 A Property taxes on factory 65,000 Utilities, factory 150,000 Insurance on factory 200,000 85,000 Salary, sales supervisor 218,000 Commissions, salespersons 500,000 Advertising 390,000 General administration Previous Next ReAssignmentSessionLocator=&inprogress=false Salary, sales supervisor * 85,000 Commissions, salespersons 218,000 Advertising 500,000 General administration 390,000 Work-in-process inventory, January 1 440,000 Work-in-process inventory, December 31 750,000 Finished goods inventory, January 1 107,500 Finished goods inventory, December 31 488,750 Required: 1. Prepare a cost of goods manufactured statement. & Spencer Company Statement of Cost of Goods Manufactured For the Year Ended December 31 Direct materials: Beginning inventory Add: Purchases Materials available Less: Ending inventory Direct materials used in production Director Previous Next n.com/ilm/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false 1. Prepare a cost of goods manufactured statement. Spencer Company Statement of Cost of Goods Manufactured For the Year Ended December 31 Direct materials: Beginning inventory Q Add: Purchases Materials available $ Less: Ending inventory Direct materials used in production Direct labor Manufacturing overhead: Indirect labor Depreciation factory building Depreciation, factory equipment Qul Property taxes on factory Utilities factory Insurance on factory s Total manufacturing costs added Add: Beginning work in process Less: Ending work in process Previous > voker=&takeAssignmentSessionLocator=&inprogress=false Less: Ending work in process Cost of goods manufactured 2. Compute the cost of producing one case of sports drink last year. If required, round your answer to the nearest cent. per case 3. Prepare an income statement on an absorption-costing basis. Show the percentage of sales that each line item represents. Round the percent to four decimal places before converting to a percentage. For example, .88349 would be rounded to .8835 and entered as 88.35. Spencer Company Income Statement: Absorption Costing For the Year End December Percent Sales % Cost of goods sold: Beginning finished goods inventory Add: Beg. finished goods inventory Goods available for sale Less: End, finished goods inventory Gross margin Less: Operating expenses: Previous Next eAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false Less: End, finished goods inventory % Gross margin Less: Operating expenses: Salary, sales supervisor Commissions, salespersons Advertising % Administrative expenses % Operating income %