| The following selected information was extracted from the 20×1 accounting records of Lone Oak Products: |
|
Raw material purchases |
$ | 175,000 |
| Direct labor | 254,000 | |
| Indirect labor | 108,000 | |
| Selling and administrative salaries | 133,000 | |
| Building depreciation* | 80,000 | |
| Other selling and administrative expenses | 195,000 | |
| Other factory costs | 343,000 | |
| Sales revenue ($130 per unit) | 1,495,000 | |
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*Seventy five percent of the company’s building was devoted to production activities; the remaining 25 percent was used for selling and administrative functions.
Inventory data:
| January 1 | December 31 | |||
| Raw material | $ |
15,800 |
$ |
18,200 |
| Work in process |
35,900 |
62,100 | ||
| Finished goods* |
111,100 |
97,900 | ||
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*The January 1 and December 31 finished goods inventory consisted of 1,350 units and 1,190 units, respectively.
Requirement 1:
Calculate Lone Oak’s manufacturing overhead for the year.
(Omit the “$” sign in your response.)
| Manufacturing overhead | $ |
Requirement 2:
Calculate Lone Oak’s cost of goods manufactured.
(Omit the “$” sign in your response.)
| Cost of goods manufactured | $ |
Requirement 3:
Compute the company’s cost of goods sold.
(Omit the “$” sign in your response.)
| Cost of goods sold | $ |
Requirement 4:
Determine net income for 20×1, assuming a 30% income tax rate.
(
Omit the “$” sign in your response.)
| Net income | $ |
Requirement 5:
Determine the number of completed units manufactured during the year.
(Round your final answer to the nearest whole number.)
| Number of completed manufactured units |