The following information is available for Robstown Corporation for 20Y8:InventoriesJanuary 1December 31Materials$78,950$95,200Work in process110,00095,000Finished goods114,750109,800 December 31Advertising expense$ 68,300Depreciation expense-office equipment21,500Depreciation expense-factory equipment14,460Direct labor186,700Heat, light, and power-factory5,800Indirect labor24,260Materials purchased121,600Office salaries expense74,850Property taxes-factory4,035Property taxes-office building13,250Rent expense-factory6,025Sales863,500Sales salaries expense135,000Supplies-factory3,500Miscellaneous costs-factory5,280 Required: a. Prepare the 20Y8 statement of cost of goods manufactured. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. b. Prepare the 20Y8 income statement. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive.Labels For the Year Ended December 31, 20Y8 For the Month Ended December 31, 20Y8 Amount Descriptions Advertising expense Cost of direct materials used in production Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Cost of materials available for use Depreciation expense-factory equipment Depreciation expense-office equipment Direct labor Finished goods inventory, December 31, 20Y8 Finished goods inventory, January 1, 20Y8 Gross profit Heat, light, and power-factory Indirect labor Materials inventory, December 31, 20Y8 Materials inventory, January 1, 20Y8 Miscellaneous costs-factory Net income Office salaries expense Purchases Property taxes-factory Property taxes-office building Rent expense-factory Supplies-factory Sales Sales salaries expense Total manufacturing costs incurred in 20Y8 Total factory overhead Total manufacturing costs Total operating expenses Work in process inventory, December 31, 20Y8 Work in process inventory, January 1, 20Y8 a. Prepare the 20Y8 statement of cost of goods manufactured. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. b. Prepare the 20Y8 income statement. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive.

The cost of goods manufactured is the calculation of company's total costs of production during a…

Answered: Required: a. Prepare the 20Y8…

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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Question

The following information is available for Robstown Corporation for 20Y8:

Inventories	January 1	December 31
Materials	$78,950	$95,200
Work in process	110,000	95,000
Finished goods	114,750	109,800

	December 31
Advertising expense	$ 68,300
Depreciation expense-office equipment	21,500
Depreciation expense-factory equipment	14,460
Direct labor	186,700
Heat, light, and power-factory	5,800
Indirect labor	24,260
Materials purchased	121,600
Office salaries expense	74,850
Property taxes-factory	4,035
Property taxes-office building	13,250
Rent expense-factory	6,025
Sales	863,500
Sales salaries expense	135,000
Supplies-factory	3,500
Miscellaneous costs-factory	5,280

	Required:
	a. Prepare the 20Y8 statement of cost of goods manufactured. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign.
	b. Prepare the 20Y8 income statement. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive.

Labels
For the Year Ended December 31, 20Y8
For the Month Ended December 31, 20Y8
Amount Descriptions
Advertising expense
Cost of direct materials used in production
Cost of finished goods available for sale
Cost of goods manufactured
Cost of goods sold
Cost of materials available for use
Depreciation expense-factory equipment
Depreciation expense-office equipment
Direct labor
Finished goods inventory, December 31, 20Y8
Finished goods inventory, January 1, 20Y8
Gross profit
Heat, light, and power-factory
Indirect labor
Materials inventory, December 31, 20Y8
Materials inventory, January 1, 20Y8
Miscellaneous costs-factory
Net income
Office salaries expense
Purchases
Property taxes-factory
Property taxes-office building
Rent expense-factory
Supplies-factory
Sales
Sales salaries expense
Total manufacturing costs incurred in 20Y8
Total factory overhead
Total manufacturing costs
Total operating expenses
Work in process inventory, December 31, 20Y8
Work in process inventory, January 1, 20Y8

a. Prepare the 20Y8 statement of cost of goods manufactured. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

b. Prepare the 20Y8 income statement. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive.

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