Manning Company had the following inventory balances at the beginning and end of the year: January...

Manning Company had the following inventory balances at the beginning and end of the year:

	January 1	December 31
Raw material	$60,000	$50,000
Work in process	140,000	180,000
Finished goods	280,000	255,000

During the year, the company purchased $100,000 of raw material and incurred $340,000 of direct labor costs.

Other data: manufacturing overhead incurred, $440,000; manufacturing overhead applied, $450,000

Sales, $1,560,000;

Selling and administrative expenses, $90,000;

Income tax rate, 30%.

Required:
A. Calculate cost of goods manufactured.
B. Calculate cost of goods sold.
C. Determine Manning's net income. (prepare an income statement)

Solutions

Expert Solution

ekkarill92 answered 1 year ago

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