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You have been approached by the President of Socks Manufacturing Limited to assist them in completing their financial statements for the year ended December 3

You have been approached by the President of Socks Manufacturing Limited to assist them in completing
their financial statements for the year ended December 31,2023. Their managerial accountant fell ill before
completing the schedule of cost of goods manufactured & they are unable to complete the financial statements
without this schedule.
You have been provided with the following information:
Direct materials purchased 158,900
Raw materials inventory, Jan. 1,20236,500
Raw Materials inventory, Dec. 31,20237,900
Sales 926,000
Depreciation, factory 10,750
Property tax, factory 9,800
Work in process, Jan. 1,202315,000
Work in process, Dec. 31,202314,500
Administrative expense 22,550
Selling expense 19,500
Indirect labour, factory 56,000
Administrative salaries 80,900
Insurance expense, admin & selling offices 9,600
Utilities, factory 12,600
Indirect materials 31,450
Finished goods inventory, Jan. 1,202330,000
Finished goods inventory, Dec. 31,202333,600
Advertising expense 46,000
Sales salaries 50,000
Direct labour 149,000
Required:
1. Complete the cost of goods manufactured schedule
2. Complete the income statement for the year ended December 31,2023
3. Assuming the company produced 50,000 units during the year, what is the average cost
per unit for direct materials?
4. Assume the company expects to produce 75,000 units in 2024. What is the total cost of direct materials
you would expect?
5. Assume the company expects to produce 75,000 units in 2024. What is the total cost of administrative
salaries you would expect?
Under no circumstances may the value of an assignment be moved to the exam. Students will
receive a grade of 0% if the assignment is not submitted as required. Students must NOT have the
assignment prepared for them by friends, acquaintances, family or tutors as this is a form of
academic dishonesty

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