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Problem 2 Good Vibrations, Inc., produces videotapes of musical performances. A newly hired executive of the company has asked you to sort through the records

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Problem 2 Good Vibrations, Inc., produces videotapes of musical performances. A newly hired executive of the company has asked you to sort through the records and prepare a statement of the company's cost of goods manufactured. You find the following data from records prepared by Good Vibrations, Inc., for the year ended December 31: Materials purchases $45,000 Direct labor $50,000 Indirect labor $10,000 Factory utilities used $15,000 Factory supplies used $7,000 Depreciation expense - Factory Equipment 10. $11,000 Other manufacturing overhead $20,000 Depreciation expense-office building $15,000 Sales salary expense $40,000 Other administrative expenses $80,000 Inventories: Beginning raw materials inventory, January 1 $16.000 Ending raw materials inventory, December 31 $12,000 Beginning work in process inventory, January $15,000 Ending work in process inventory, December 31 $23,000 Beginning Finished Goods Inventory, January $25,000 Ending Finished Goods Inventory, December 31 S15,000 Sales for the year were $400,000 Requirements: a. Prepare a statement of cost of goods manufactured for Good Vibrations, Inc. for the year ended December 31. b. Prepare an income statement for Good Vibrations, Inc., for the year ended December 31. Requirements: a. Prepare a statement of cost of goods manufactured for Good Vibrations, Inc. for the year ended December 31. b. Prepare an income statement for Good Vibrations, Inc., for the year ended December 31. Good Vibrations, Inc. Manufacturing Statement For Year Ended December 31 Beg. Raw Materials inv. 0 Less: Indirect materials Direct Materials Used (OM) this line extra space only Direct Labor (DL) this line extra space only Manufacturing Overhead: this is a subheading only - show detail of Overhead below Total Overhead (OH) this line extra pact only Total Manufacturing Cost (DM + DL+OH) Cost of Goods Manufactured Good Vibrations, Inc. Income Statement For Year Ended December 31 Sales Less: Cost of Goods Sold this be subheading only -- show detail of Cogs below Gross Profit Net Income

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