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type in a table The folowing are the balances of T Jackson for the year anded 31

ID: 2330998 • Letter: T

Question

type in a table

The folowing are the balances of T Jackson for the year anded 31 Decsmber 2011 RM Stock at 1 January 2011 Raw materials Work in Progress Finished goods 18,450 23,800 17.470 St At 64,300 1,605 65,810 16,920 Purchases : Raw materials Carriage on raw materials Direct Labour Office salaries Rent Office lighting & heating. Depreciation: Works machinery 2,700 5.760 8,300 1,950 200,600 5,920 Office squipment Sales Factory Fuel and power Rent is to be apportioned Factory 2/3; Office 1/3 Stocks at 31 December 2011 were Raw materials Work in Progress Finished goods 20,210 17,390 21,485 PREPARE A Manufcturing, trading and profit and loss account for the year ended-31 December 2011

Explanation / Answer

T Jackson Income Statement For the year ended December 31, 2011 Sales $ 200,600 Less: Cost of goods sold Beginning finished goods inventory $    17,470 Add: Cost of goods manufactured Direct Meterial Beginning raw meterial inventory $ 18,450 Add: Purchase of raw meterial $ 64,300 Add: carriage on raw material $    1,605 Raw meterials available for production $ 84,355 Less: Ending raw meterial inventory $ 20,210 Raw meterials transferred to production $ 64,145 Direct Labour $ 65,810 Depreciation expense - factory equipment $    8,300 Rent ($2,700*2/3) $    1,800 Factory Fuel and power $    5,920 Beginning work in progress inventory $ 23,600 Less: Ending work in progress inventory $ 17,390 Cost of goods manufactured $ 152,185 Less: Ending finished goods inventory $    21,485 Cost of goods sold $ 148,170 Gross Margin $    52,430 Administrative expenses Depreciation expense - office equipment $      1,950 Office salaries expense $    16,920 Office lighting and heating $      5,760 Rent expense - office space ($2,700*1/3) $          900 Total administrative expenses $    25,530 Net Income $    26,900