Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The administrative offices and manufacturing plant of Billings Tool & Die share the same building. The following information (in $000s) appears in the accounting records
The administrative offices and manufacturing plant of Billings Tool & Die share the same building. The following information (in $000s) appears in the accounting records for last year:
| Administrative costs | $ | 1,647 | |
| Building and machine depreciation (75% of this amount is for factory) | 900 | ||
| Building utilities (90% of this amount is for factory) | 1,350 | ||
| Direct labor | 855 | ||
| Direct materials inventory, December 31 | 14 | ||
| Direct materials inventory, January 1 | 13 | ||
| Direct materials purchases | 3,640 | ||
| Factory supervision | 478 | ||
| Finished goods inventory, December 31 | 66 | ||
| Finished goods inventory, January 1 | 54 | ||
| Indirect factory labor | 916 | ||
| Indirect materials and supplies | 680 | ||
| Marketing costs | 862 | ||
| Property taxes on building (85% of this amount is for factory) | 1,000 | ||
| Sales revenue | 12,931 | ||
| Work-in-process inventory, December 31 | 26 | ||
| Work-in-process inventory, January 1 | 31 |
| |
| Prepare an income statement with a supporting cost of goods sold statement. (Enter your answers in thousands of dollars (i.e., 234,000 should be entered as 234).) | |||
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started