Manufacturing Income Statement, Statement of Cost of Goods Manufactured

Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of December.

	On Company		Off Company
Materials inventory, December 1	$78,700		$103,880
Materials inventory, December 31	(a)		117,380
Materials purchased	199,900		(a)
Cost of direct materials used in production	210,920		(b)
Direct labor	296,700		233,730
Factory overhead	92,080		116,350
Total manufacturing costs incurred in December	(b)		672,100
Total manufacturing costs	750,800		922,450
Work in process inventory, December 1	151,100		250,350
Work in process inventory, December 31	127,490		(c)
Cost of goods manufactured	(c)		665,870
Finished goods inventory, December 1	133,000		116,350
Finished goods inventory, December 31	139,300		(d)
Sales	1,160,040		1,038,800
Cost of goods sold	(d)		672,100
Gross profit	(e)		(e)
Operating expenses	151,100		(f)
Net income	(f)		230,610

Required:

1. Determine the amounts of the missing items, identifying them by letter. Enter all amounts as positive numbers.

Letter	On Company	Off Company
a.	$	$
b.	$	$
c.	$	$
d.	$	$
e.	$	$
f.	$	$

2. Prepare On Company's statement of cost of goods manufactured for December.

On Company
Statement of Cost of Goods Manufactured
For the Month Ended December 31
Work in process inventory, December 1			$
Direct materials:
Materials inventory, December 1	$
Purchases
Cost of materials available for use	$
Less materials inventory, December 31
Cost of direct materials used in production		$
Direct labor
Factory overhead
Total manufacturing costs incurred during December
Total manufacturing costs			$
Less work in process inventory, December 31
Cost of goods manufactured			$

3. Prepare On Company's income statement for December.

On Company
Income Statement
For the Month Ended December 31
Sales		$
Cost of goods sold:
Finished goods inventory, December 1	$
Cost of goods manufactured
Cost of finished goods available for sale	$
Less finished goods inventory, December 31
Cost of goods sold
Gross profit		$
Operating expenses
Net income		$