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 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,600
Building and machine depreciation
(75% of this amount is for factory) . . . . . . . . . . . . . . . . . . . . . 5,400
Building utilities (90% of this amount is for factory) . . . . . . . . . . 7,500
Direct labor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,040
Direct materials inventory, December 31 . . . . . . . . . . . . . . . . . . 84
Direct materials inventory, January 1 . . . . . . . . . . . . . . . . . . . . . 72
Direct materials purchases . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,900
Factory supervision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,940
Finished goods inventory, December 31 . . . . . . . . . . . . . . . . . . 390
Finished goods inventory, January 1 . . . . . . . . . . . . . . . . . . . . . 324
Indirect factory labor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,472
Indirect materials and supplies . . . . . . . . . . . . . . . . . . . . . . . . . 4,110
Marketing costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,226
Property taxes on building
(80% of this amount is for factory) . . . . . . . . . . . . . . . . . . . . . 5,040
Sales revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77,820
Work-in-process inventory, December 31 . . . . . . . . . . . . . . . . . 174
Work-in-process inventory, January 1 . . . . . . . . . . . . . . . . . . . . 192
Required
Prepare an income statement with a supporting cost of goods sold statement.