Chapter 19, Problem 19.13E

To determine

Cost of Goods Manufactured: The sum of all the costs incurred to manufacture a product is called cost of goods manufactured. It is presented in the income statement.

Income Statement: It can be known as “Profit and Loss statement” or “Revenue statement” or “Operating statement”. It is the financial statement of the company which provides the information about revenues and expenses of a specific period. It computes the net profit or net loss of the company for a particular period and represents the financial performance of the company.

To determine: (a) A schedule of cost of contract services performed (b) Classify and report in the financial statements for those costs not included in (a).