Manufacturing Cost Schedule and Income Statement (10 marks)

Neptune Manufacturing Co is a wholly owned subsidiary of Jupiter Australia and utilises a traditional manufacturing cost flow inventory and accounting system. Neptune Manufacturing Co is incorporated and operates in Australia and pays tax at the Australian corporate rate of 30%. There are no adjustments for accruals or prepayments.

Trading data for Neptune Manufacturing Co for the 2021 financial year was as follows:

Account:	$
Raw Materials & Ingredients (Purchases)	12,582,000
Freight Inwards	370,000
Plant Utility Costs	2,486,500
Depreciation of Factory Plant, Equipment & Machinery	1,250,000
Depreciation of Office Equipment & Furniture	156,000
Office Salaries and Costs	1,256,000
Factory Direct Labour Cost	3,658,000
Factory Indirect Labour Cost	1,123,000
Manufacturing Overhead	482,000
Interest & other charges	1,901,000
Sales Revenue	32,101,000
Freight Outwards	672,000
Sales & Marketing Expenses	1,985,000
Accounting & Audit costs	875,000

On June 30th 2021 selected account balances of Neptune Manufacturing Co were as follows (with comparative 30/06/2020 Opening Balance figures):

Account:	June 30, 2021	June 30, 2020
Cash & Cash Equivalents	327,000	1,243,000
Accounts Receivable	2,459,000	1,926,000
Factory Plant, Equipment & Machinery (at cost)	8,500,000	7,125,000
Office Equipment & Furniture (at cost)	1,500,000	1,450,000
Land & Buildings (at cost)	13,500,000	13,500,000
Raw Material Inventory	386,500	426,000
Work in Process (WIP) Inventory:
Raw Materials	1,178,000	902,000
Direct Labour	647,000	561,000
Manufacturing Overhead	296,000	205,000
Total WIP	2,121,000	1,668,000
Finished Goods Inventory	1,254,000	1,002,000
Accounts Payable	621,000	987,000
Long Term Debt	15,000,000	15,000,000

Corporate Tax rate (30%)

Required:

Using Excel, from the information provided prepare the following financial reports: Schedule of Cost of Goods Manufactured, Schedule of Cost of Goods Sold and an after-tax Income Statement for Neptune Manufacturing for the 2021 financial year. (10 marks)