Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of December.
| On Company | Off Company | |
| Materials inventory, December 1 | $88,230.00 | $111,170.00 |
| Materials inventory, December 31 | (a) | 125,620.00 |
| Materials purchased | 224,100.00 | (a) |
| Cost of direct materials used in production | 236,460.00 | (b) |
| Direct labor | 332,630.00 | 250130 |
| Factory overhead | 103,230.00 | 124,510.00 |
| Total manufacturing costs incurred during December | (b) | 719,270.00 |
| Total manufacturing costs | 841,720.00 | 841,720.00 |
| Work in process inventory, December 1 | 169,400.00 | 267,920.00 |
| Work in process inventory, December 31 | 142,930.00 | (c) |
| Cost of goods manufactured | (c) | 712,600.00 |
| Finished goods inventory, December 1 | 149,110.00 | 124,510.00 |
| Finished goods inventory, December 31 | 156,170.00 | (d) |
| Sales | 1,300,510.00 | 1,111,700.00 |
| Cost of goods sold | (d) | 719,270.00 |
| Gross profit | (e) | (e) |
| Operating expenses | 169,400.00 | (f) |
| Net income | (f) | 246,800.00 |
Required:
A. Determine the amounts of the missing items, identifying them by letter. Enter all amounts as positive numbers.
B. Prepare On Company’s statement of cost of goods manufactured for December.*
C. Prepare On Company’s income statement for December.*
Solution
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