The Following Data Appeared in Moline Company's Records on December

question 90

Essay

The following data appeared in Moline Company's records on December 31:
$\begin{array}{lr}\text { Direct Materials Inventory, Dec. } 31 & \$ 35,500 \\\text { Direct Materials purchased during the year } & 2,268,000 \\\text { Finished Goods Inventory, Dec. } 31 & 567,000 \\\text { Indirect labor } & 201,600 \\\text { Direct labor } & 2,520,000 \\\text { Factory heat, light, and power } & 234,360 \\\text { Factory depreciation } & 396,900 \\\text { Administrative salaries } & 323,820 \\\text { Miscellaneous factory cost } & 200,970\\\text { Marketing costs } & 233,100 \\\text { Other administrative costs } & 113,400 \\\text { Maintenance on factory equipment } & 76,230 \\\text { Insurance on factory equipment } & 119,700 \\\text { Distribution costs } & 10,080 \\\text { Taxes on manufacturing property } & 82,530 \\\text { Legal fees on customer complaint } & 51,660 \\\text { Direct materials put into production } & 2,407,230 \\\text { Work-in-Process Inventory, Dec. 31 } & 154,980 \end{array}$
On January 1, the Finished Goods Inventory account had a balance of $280,000, and the Work-in-Process Inventory account had a balance of $90,650. Sales revenue for the year was $6,687,500.
Required:
(a) Prepare a cost of goods manufactured statement.
(b) Prepare a cost of goods sold statement.
(c) Prepare a gross margin income statement.

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Definitions:

Status Symbols

Objects or signs that signify the social status, wealth, or prestige of the individual possessing or displaying them.

Reallocation Spending

the process of shifting funds from one category of expenses to another, typically in response to changing priorities or circumstances.

Low-Income Consumer

Consumers with limited financial resources, influencing their purchasing behavior and product choices.

Material Goods

Physical items produced for consumer purchase and use, as opposed to services or digital products.