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Thank you in advance for answering this, struggling a bit Dell Inc. manufactures computers and uses a job costing system. They recorded the following information

Thank you in advance for answering this, struggling a bit

  1. Dell Inc. manufactures computers and uses a job costing system. They recorded the following information for the current year.

Beginning Ending

Materials Inventory 35,000 28,000

Work in Process 18,000 14,500

Finished Goods 16,000 24,000

Rent 125,000

General & Admin Expense 18,500

Depreciation 45,000

Indirect Materials 50,000

Indirect Labor 55,000

Marketing Expense 120,000

Current year sales 1,020,000

  • Purchased 39,000lbs of material used to manufacture computers. The cost per pound was $10.
  • Direct labor personnel earned $20 per hour. There were 6,500 direct labor hours for the year.
  • Dell incurred and paid $12,000 of property taxes which were all related to the office building.
  • Dell incurred $45,000 of depreciation on manufacturing equipment.
  • The rent expense was related to both the manufacturing plant and the office building. 60% was related to the manufacturing plant and 40% was related to the office building.
  • Dell incurred other factory overhead costs for the year in the amount of $3,200

Prepare a cost of goods manufactured statement, calculate cost of goods sold, and prepare an income statement for the current year for Dell, Inc.

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