Trial Balance as at 31 December 2022 of Kamagong Enterprise. Debit Credit Inventory of raw materials 01/01/2022 21,000 Inventory of finished goods 01/01/2022 38,900 Work in progress 01/01/2022 13,500 Wages (direct P180, 000; factory indirect P145, 000) 325,000 Royalties 7,000 Carriage inwards (on raw materials) 3,500 Purchases of raw materials 370,000 Productive machinery (cost P280,000) 230,000 Administration computers (cost P20,000) 12,000 General factory expenses 31,000 Lighting 7,500 Factory power 13,700 Administration salaries 44,000 Sales reps’ salaries 30,000 Commission on sales 11,500 Rent 12,000 Insurance 4,200 General administration expenses 13,400 Bank charges 2,300 Discounts allowed 4,800 Carriage outwards 5,900 Sales 1,000,000 Trade receivables and trade payables 142,300 64,000 Bank 16,800 Cash 1,500 Drawings 60,000 Capital as at 01/01/2022 357,800 1,421,800 1,421,800 Notes at 31/12/2022: Inventory of raw materials P 24,000; inventory of finished goods P 40,000; work in progress P 15,000. Lighting, rent, and insurance are to be apportioned: factory 5/6, administration 1/6. Depreciation on productive and administration computers at 10 per cent per annum on cost. Required: Prepare Statement of Cost of Goods Manufactured and Income Statement for Kamagong Enterprise for the year ended 31 December 2022.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

100%

Trial Balance as at 31 December 2022 of Kamagong Enterprise.

	Debit	Credit
Inventory of raw materials 01/01/2022	21,000
Inventory of finished goods 01/01/2022	38,900
Work in progress 01/01/2022	13,500
Wages (direct P180, 000; factory indirect P145, 000)	325,000
Royalties	7,000
Carriage inwards (on raw materials)	3,500
Purchases of raw materials	370,000
Productive machinery (cost P280,000)	230,000
Administration computers (cost P20,000)	12,000
General factory expenses	31,000
Lighting	7,500
Factory power	13,700
Administration salaries	44,000
Sales reps’ salaries	30,000
Commission on sales	11,500
Rent	12,000
Insurance	4,200
General administration expenses	13,400
Bank charges	2,300
Discounts allowed	4,800
Carriage outwards	5,900
Sales		1,000,000
Trade receivables and trade payables	142,300	64,000
Bank	16,800
Cash	1,500

Drawings	60,000
Capital as at 01/01/2022		357,800
	1,421,800	1,421,800

Notes at 31/12/2022:

Inventory of raw materials P 24,000; inventory of finished goods P 40,000; work in progress P 15,000.
Lighting, rent, and insurance are to be apportioned: factory 5/6, administration 1/6.
Depreciation on productive and administration computers at 10 per cent per annum on cost.

Required:

Prepare Statement of Cost of Goods Manufactured and Income Statement for Kamagong Enterprise for the year ended 31 December 2022.

Expert Solution

Step by step

Solved in 3 steps with 4 images

SEE SOLUTION Check out a sample Q&A here

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.

Similar questions