The following balances were extracted from the books of JKL Ltd on 31 December 2020:

Kshs

Carriage outwards 2,500

Electricity 6,000

Factory expenses 14,000

Manufacturing wages 63,500

Office expenses 15,400

Office furniture and fixtures at cost 92,000

Opening stocks:

Raw materials 25,000

Finished goods at cost 32,000

Work in progress at cost 23,600

Plant and machinery at cost 230,000

Rates and insurance 6,800

Raw materials purchased 115,400

Returns inwards: 5,400

Office salaries 66,800

Sales 912,200

Selling expenses 36,000

Cash at bank 120,000

Creditors 22,000

Capital 235,800

Loan 26,000

Additional information:

(i) Closing stocks valued at cost:

Raw materials 15,000

Finished goods 25,400

Work in progress 13,200

(iii) Depreciation is to be provided at 10% on cost for office furniture and fixtures

and plant and machinery on straight line basis.

(iv) The expenses on electricity, and rates and insurance are chargeable three-fifths

to the factory and the balance to the office.

(vi) On 31 December 2020, accrued office salaries amounted to Kshs11, 600 and the

prepaid insurance premium was kshs 5,200.

Required.

Prepare a manufacturing account showing clearly the amount to be taken to the profit and loss statement for JKL Ltd for the year ended 31^st December 2020. (8 marks)