The following data relates to the Austin Co.:Direct Materials Inventory, Beginning$330Direct Materials Inventory, Ending$290Direct Materials Purchases$1,650Direct Labor$1,200Factory Overhead$950Work-in-Process Inventory, Beginning$450Work-in-Process Inventory, Ending$400Finished Goods Inventory, Beginning$950Finished Goods Inventory, Ending066$Sales Revenue$5,600Selling and Administrative Expenses$1300Income Tax Rate30%Required: Please answer all the following questions, and show your works and computations to get full credits.1. Prepare a Statement of Cost of Goods Manufactured for the company.2. Prepare an Income Statement for the company. Show your work all the way to Net Income/Loss.

Solution-1 Statement of Cost of goods Manufactured Particulars Amount…

The following data relates to the Austin Co.: Direct Materials Inventory, Beginning $330 Direct Materials Inventory, Ending $290 Direct Materials Purchases $1,650 Direct Labor $1,200 Factory Overhead $950 Work-in-Process Inventory, Beginning $450 Work-in-Process Inventory, Ending $400

The following data relates to the Austin Co.: Direct Materials Inventory, Beginning $330 Direct Materials Inventory, Ending $290 Direct Materials Purchases $1,650 Direct Labor $1,200 Factory Overhead $950 Work-in-Process Inventory, Beginning $450 Work-in-Process Inventory, Ending $400

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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[The following information applies to the questions displayed below.] The following data is provided for Garcon Company and Pepper Company for the year ended December 31. Garcon Company Pepper Company Finished goods inventory, beginning $ 14,100 $ 17,800 Work in process inventory, beginning 16,800 21,300 Raw materials inventory, beginning 9,600 12,300 Rental cost on factory equipment 29,250 26,200 Direct labor 24,400 38,200 Finished goods inventory, ending 21,050 13,800 Work in process inventory, ending 22,900 20,200 Raw materials inventory, ending 6,300 7,600 Factory utilities 12,150 17,000 General and administrative expenses 28,000 50,000 Indirect labor 14,200 13,120 Repairs—Factory equipment 5,300 2,250 Raw materials purchases 44,500 64,500 Selling expenses 53,600 53,200 Sales 297,090 381,210 Cash 34,000 24,200 Accounts receivable, net 14,000 20,200 1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for…
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