Alexandria Aluminum Company, a manufacturer of recyclable soda cans, had the following inventory balances at the beginning and end of 20x1. Inventory Classification January 1, 20x1 Raw material $ 50,000 Work in process Finished goods 120,000 150,000 Indirect material Indirect labor During 20x1, the company purchased $240,000 of raw material and spent $400,000 on direct labor. Manufacturing overhead costs were as follows: Depreciation on plant and equipment Utilities Other December 31, 20x1 $ 70,000 115,000 165,000 $ 12,000 26,000 100,000 24,000 30,000 Sales revenue was $1,107,000 for the year. Selling and administrative expenses for the year amounted to $110,000. The firm's tax rate is 40 percent.
Alexandria Aluminum Company, a manufacturer of recyclable soda cans, had the following inventory balances at the beginning and end of 20x1. Inventory Classification January 1, 20x1 Raw material $ 50,000 Work in process Finished goods 120,000 150,000 Indirect material Indirect labor During 20x1, the company purchased $240,000 of raw material and spent $400,000 on direct labor. Manufacturing overhead costs were as follows: Depreciation on plant and equipment Utilities Other December 31, 20x1 $ 70,000 115,000 165,000 $ 12,000 26,000 100,000 24,000 30,000 Sales revenue was $1,107,000 for the year. Selling and administrative expenses for the year amounted to $110,000. The firm's tax rate is 40 percent.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please do not give solution in image format thanku
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.)
Alexandria Aluminum Company, a manufacturer of recyclable soda cans, had the following
inventory balances at the beginning and end of 20x1.
Inventory Classification January 1, 20x1
Raw material
Work in process
$ 50,000
120,000
150,000
Finished goods
During 20x1, the company purchased $240,000 of raw material and spent $400,000 on direct
labor. Manufacturing overhead costs were as follows:
Indirect material
Indirect labor
Depreciation on plant and equipment
Utilities
Other
December 31, 20x1
$ 70,000
115,000
165,000
$ 12,000
26,000
100,000
24,000
30,000
Sales revenue was $1,107,000 for the year. Selling and administrative expenses for the year
amounted to $110,000. The firm's tax rate is 40 percent.
Transcribed Image Text:3. Prepare an income statement.
ALEXANDRIA ALUMINUM COMPANY
Income Statement
For the Year Ended December 31, 20x1
$
0
0
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education