Statement of Cost of Goods Manufactured

For the year ended December 31, 2022

DIRECT MATERIALS USED

Raw Material Inventory, Dec. 31, 2005 60,000.00
Add: Purchases — Raw Materials 313,000.00
Raw Materials Available for Use 373,000.00
Less: Raw Materials Inventory, Dec. 31, 2006 78,000.00

DIRECT LABOR

MANUFACTURING OVERHEAD:
Amortization of Patent 16,000.00
Depreciation Expense-Factory Building 133,000.00
Depreciation Expense-Factory Equipement 78,000.00
Factory Insurance 62,000.00
Factory Supplies 21,000.00
Factory Utilities 115,000.00
Indirect Labor 26,000.00
Property Tax-Factory Building 14,000.00
Repairs and Maintenance-Factory Equipment 31,000.00
TOTAL MANUFACTURING COST

Add: Work in Process, Dec. 31, 2005

Total Cost of Goods Placed in Process
Less: Work in Process, Dec. 31, 2006

COST OF GOODS MANUFACTURED

 295,000.00

250,000.00

496,000.00
1,041,000.00

8,000.00
1,049,000.00
78,000.00

971,000.00
 Income Statement
For the year ended December 31, 2022

Sales

Cost of Goods Sold

Cost of Goods Manufactured 971,000.00
Add: Finished Goods Inventory, Dec. 31, 2005 15,000.00
Less: Finished Goods Inventory, Dec. 31, 2006 12,500.00
Gross profit

Less: Operating Expenses

Advertising Expense 85,000.00
Uncollectible Accounts Expense 28,000.00
Depreciation Expense-Office Equipment 37,000.00
Interest Expense 25,000.00
Miscellaneous Expense 55,000.00
Salaries Expense 150,000.00
NET INCOME
1,630,000.00

973,500.00
656,500.00

380,000.00
276,500.00