Income Statement Lederman Manufacturing Corporation sold 22,500 units of product for $45 each during 2016. During the year, 7,500 shares of common stock were outstanding. Lederman Manufacturing Corporation Schedule of Cost of Goods Manufactured and Sold For the Year Ended December 31, 2016 Direct material: Beginning materials inventory $37,500 Cost of materials purchased 187,500 Cost of material available 225,000 Less: Ending materials Inventory 22,500 Total materials used 202,500 Less: Indirect material used 18,000 Direct materials used $184,500 Direct labor 222.000 Manufacturing overhead Indirect material 18,000 Indirect labor 55,500 Factory supplies used 15,000 Factory depreciation 97,500 Factory repairs and maintenance 31,500 Total manufacturing overhead 217,500 Total manufacturing costs for the year 624,000 Add: Beginning work in process inventory 45,000 Total cost of work in process during the year 669,000 Less: Ending work in process inventory 61,500 Cost of goods manufactured 607,500 Add: Beginning finished goods inventory 76,500 Cost of goods available for sale 684,000 Less: Ending finished goods inventory 54,000 Cost of goods sold $630,000 Selling expenses (total) $93,000 Non-factory administrative expenses (total) 87,000
Income Statement Lederman Manufacturing Corporation sold 22,500 units of product for $45 each during 2016. During the year, 7,500 shares of common stock were outstanding. Lederman Manufacturing Corporation Schedule of Cost of Goods Manufactured and Sold For the Year Ended December 31, 2016 Direct material: Beginning materials inventory $37,500 Cost of materials purchased 187,500 Cost of material available 225,000 Less: Ending materials Inventory 22,500 Total materials used 202,500 Less: Indirect material used 18,000 Direct materials used $184,500 Direct labor 222.000 Manufacturing overhead Indirect material 18,000 Indirect labor 55,500 Factory supplies used 15,000 Factory depreciation 97,500 Factory repairs and maintenance 31,500 Total manufacturing overhead 217,500 Total manufacturing costs for the year 624,000 Add: Beginning work in process inventory 45,000 Total cost of work in process during the year 669,000 Less: Ending work in process inventory 61,500 Cost of goods manufactured 607,500 Add: Beginning finished goods inventory 76,500 Cost of goods available for sale 684,000 Less: Ending finished goods inventory 54,000 Cost of goods sold $630,000 Selling expenses (total) $93,000 Non-factory administrative expenses (total) 87,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Help, Thank You.
Transcribed Image Text:Prepare an income statement for the year (ignore income taxes). Calculate earnings per share.
Do not use negative signs with answers. Round earnings per share to two decimal places.
Lederman Maufacturing Corporation
Income Statement
For the Year Ended December 31,2016
Sales
$
0 x
Cost of goods sold
Gross profit on sales
Operating expenses:
Selling expenses
Non-factory administrative expenses
0 x
Net income
Earnings per share of common stock
$
Transcribed Image Text:Income Statement
Lederman Manufacturing Corporation sold 22,500 units of product for $45 each during 2016. During the year, 7,500 shares of common stock were outstanding.
Lederman Manufacturing Corporation
Schedule of Cost of Goods Manufactured and Sold
For the Year Ended December 31, 2016
Direct material:
Beginning materials inventory
$37,500
Cost of materials purchased
187,500
Cost of material available
225,000
Less: Ending materials Inventory
22,500
Total materials used
202,500
Less: Indirect material used
18,000
Direct materials used
$184,500
Direct labor
222,000
Manufacturing overhead
Indirect material
18,000
Indirect labor
55,500
Factory supplies used
15,000
Factory depreciation
97,500
Factory repairs and maintenance
31,500
Total manufacturing overhead
217,500
Total manufacturing costs for the year
624,000
Add: Beginning work in process inventory
45,000
Total cost of work in process during the year
669,000
Less: Ending work in process inventory
61,500
Cost of goods manufactured
607,500
Add: Beginning finished goods inventory
76,500
Cost of goods available for sale
684,000
Less: Ending finished goods inventory
54,000
Cost of goods sold
$630,000
Selling expenses (total)
$93,000
Non-factory administrative expenses (total)
87,000
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 2 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