Please post answer in excel. Thanks.
D A B H 1 Building Blocks of Managerial Accounting 2 Prepare Income Statement 3 Review the following amounts for West Nautical Company. Assume that the Raw Materials Inventory contains only direct materials. The Calculation of Direct Materials Used, Schedule of Cost of Goods Manufactured, and Calculation of Cost of Goods Sold can be 4 found under the "COSTOFGOODSSOLD" tab. 5 Beginning of 6 Year End of Year End of Year 7 Raw materials inventory $ 23,000 $ 25,000 Insurance on plant $ 11,500 8 Work in process inventory $ 35,000 $ 31,000 Depreciation-plant building and equipment $ 13,400 9 Finished goods inventory $ 20,000 $ 22,000 Repairs and maintenance-plant $ 3,700 10 Purchases of direct materials $ 74,000 Marketing expenses $ 77,000 11 Direct labor $ 86,000 General and administrative expenses $ 28,500 12 Indirect labor $ 42,000 13 14 Assume that the company has the following sales during the year: Price per 15 Units sold unit 16 34,000 $ 12 17 18 Use the blue shaded areas on the ENTERANSWERS tab for inputs. Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the Instruction tab you 19 will be marked wrong. 20 21 Requirement 22 Prepare the income statement for West Nautical Company in for the most recent year. 23 a. Check your spelling carefully and do not abbreviate. 24 b. Follow the format in the exhibit that shows the Manufacturer's Income Statement. c. 25 Enter all amounts as positive values. Do not use a minus sign or parentheses for any values to be subtracted. B *** A 1 **DATA SHEET DO NOT ENTER ANSWERS HERE* 2 3 Calculation of Direct Materials Used 4 Beginning Raw Materials Inventory $ 5 Plus: Purchases of direct materials 6 Materials available for use $ 7 Less: Ending Raw Materials Inventory 8 Direct materials used $ 23,000 74,000 97,000 25,000 72,000 9 10 Schedule of Cost of Goods Manufactured 11 Beginning Work in Process Inventory $ 35,000 12 Plus Manufacturing costs incurred: 13 Direct materials used 72,000 14 Direct labor 86,000 15 Manufacturing overhead 70,600 16 Total manufacturing costs to account for $ 263,600 17 Less: Ending Work in Process Inventory 31,000 18 Cost of goods manufactured $ 232,600 19 20 Calculation of Cost of Goods Sold 21 Beginning Finished Goods Inventory $ 20,000 22 Plus: Cost of goods manufactured 232,600 23 Cost of goods available for sale $ 252,600 24 Less: Ending Finished Goods Inventory 22,000 25 Cost of goods sold $ 230,600 26
