Question 3 Omar Hana Sdn. Bhd. (OHSB) makes industrial cleaning solvents. Various chemicals, detergent, and water are mixed together and then bottled in 10-gallon drums. OHSB provided the following information for year 2020: RM Raw materials purchases 250,000 Direct labor 140,000 Depreciation on factory equipment 45,000 Depreciation on factory building 30,000 Depreciation on office building 50,000 Factory insurance 15,000 Property taxes: Factory 20,000 Office 18,000 Utilities for factory 34,000 Utilities for sales office 1,800 Administration salaries 150,000 Indirect labor 156,000 Sales office salaries 90,000 Beginning balance, raw materials 124,000 Beginning balance, WIP 124,000 Beginning balance, finished goods 84,000 Ending balance, raw materials 102,000 Ending balance, WIP 130,000 Ending balance, Finished goods 82,000 For the year 2020, OHSB completed 100,000 units. Sales revenue equaled RM1,200,000 and OHSB paid a sales commission of 5% of sales. Required: a) Calculate the direct materials used in production for year 2020. (3 marks) b) Calculate total prime cost. (3 marks) c) Calculate total conversion cost. (2 marks) d) Calculate cost of goods manufactured for year 2020 (3 marks) e) Calculate cost of goods sold. (3 marks) 1) Calculate total selling and administration expenses. (3 marks) g) Prepare company Income Statement for year 2020. (3 marks) (Total: 20 Marks) 6