Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies fo
r the month of May.
Rainier Company Yakima Company
2 Materials inventory, May 1 $281,960.00 $179,000.00
3 Materials inventory, May 31 (a) 178,000.00
4 Materials purchased 712,200.00 341,200.00
5 Cost of direct materials used in production 751,600.00 (a)
6 Direct labor 1,059,200.00 (b)
7 Factory overhead 325,800.00 180,400.00
8 Total manufacturing costs incurred during May (b) 1,032,000.00
9 Total manufacturing costs 2,677,600.00 1,475,500.00
10 Work in process inventory, May 1 541,000.00 443,500.00
11 Work in process inventory, May 31 452,000.00 (c)
12 Cost of goods manufactured (c) 1,025,500.00
13 Finished goods inventory, May 1 478,200.00 205,000.00
14 Finished goods inventory, May 31 495,400.00 (d)
15 Sales 4,144,000.00 1,671,000.00
16 Cost of goods sold (d) 1,053,500.00
17 Gross profit (e) (e)
18 Operating expenses 545,000.00 (f)
19 Net income (f) 382,900.00
Required:A. Determine the amounts of the missing items, identifying them by letter. Enter all amounts as positive numbers.B. Prepare Yakima Company’s statement of cost of goods manufactured for May.C. Prepare Yakima Company’s income statement for May.
