Sega Delight Sdn Bhd. manufactured numerous types of sport shoes. The followings are selected account balances of the company for the year ended 31 December 2020: Items RM Administrative salaries 2,400 Advertising expense 1,200 Utilities costs 3,500 Depreciation expense 4,800 Direct labor cost ? Beginning raw materials inventory 2,100 Ending raw materials inventory 3,200 Beginning finished good inventory 46,980 Ending finished good inventory 44,410 Administration insurance expense 2,240 Indirect labor cost 15,700 Factory insurance expense 3,400 Purchases of raw materials 14,600 Factory repair and maintenance 3,900 Marketing and selling salaries 2,000 Tax on factory 4,440 Sales commissions 1,410 Beginning work in process inventory 1,670 Ending work in process inventory 1,110 Additional information: 1. 80% of the utility costs apply to factory operations; the remaining amounts apply to selling and administrative activities. 2. 70% of depreciation expense is for the factory equipment; 30% is for the office equipment. 3. Direct labor cost is 40% of conversion cost.

BKAF1023 INTRODUCTION TO FINANCIAL ACCOUNTING 5

REQUIRED:

(a) Prepare a Statement of Cost of Goods Manufactured for the year ended 31 December 2020 (show your workings).