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 Raw material Work in process Finished goods January 1, 20x1 $ 60,000 120,000 140,000 Indirect material Indirect labor During 20x1, the company purchased $250,000 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 9,000 24,000 100,000 26,000 30,000 Sales revenue was $1,112,000 for the year. Selling and administrative expenses for the year amounted to $110,000. The firm's tax rate is 40 percent.
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 Raw material Work in process Finished goods January 1, 20x1 $ 60,000 120,000 140,000 Indirect material Indirect labor During 20x1, the company purchased $250,000 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 9,000 24,000 100,000 26,000 30,000 Sales revenue was $1,112,000 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
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![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
Raw material
Work in process
Finished goods
January 1, 20x1
$ 60,000
120,000
140,000
Indirect material
Indirect labor
During 20x1, the company purchased $250,000 of raw material and spent $400,000 on direct labor. Manufacturing
overhead costs were as follows:
Depreciation on plant and equipment
Utilities
Other
$
9,000
24,000
December 31, 20x1
$ 70,000
115,000
165,000
100,000
26,000
30,000
Sales revenue was $1,112,000 for the year. Selling and administrative expenses for the year amounted to $110,000. The
firm's tax rate is 40 percent.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2880ea67-6b22-470e-ad20-d2e155929490%2Fff9bfbdf-bfb4-4461-b29d-1e69cb603a8f%2F4qv31f_processed.png&w=3840&q=75)
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
Raw material
Work in process
Finished goods
January 1, 20x1
$ 60,000
120,000
140,000
Indirect material
Indirect labor
During 20x1, the company purchased $250,000 of raw material and spent $400,000 on direct labor. Manufacturing
overhead costs were as follows:
Depreciation on plant and equipment
Utilities
Other
$
9,000
24,000
December 31, 20x1
$ 70,000
115,000
165,000
100,000
26,000
30,000
Sales revenue was $1,112,000 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
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