Reference no: EM132937476

Question - You obtained the following account balances for Leslie Limited as of the year ended April 30, 2021:

Insurance $18,000

Sales Commissions 36,000

Labour 240,000

Purchases of Direct Materials 85,000

Repairs and Maintenance - Plant 8,000

Rent - Office Facilities 24,000

Depreciation - Factory Equipment 12,000

Depreciation - Office 7,000

Property Taxes 22,000

Indirect Materials 4,000

General Office Supplies (billing) 3,000

General and Administration Costs 29,000

Utilities 35,000

Marketing Costs 31,000

Sales 598,000

Inventory balances for the year were as follows:

Beginning Ending

Direct Materials 26,000 28,000

Work in Process 18,000 20,000

Finished Goods 22,000 25,000

Assume that 60% of the labour cost was Direct Labour, 15% Indirect labour, the remaining 25% was administrative. Assume that 80% of the utilities cost, 60% of the insurance and 70% of the property taxes related to the plant.

Required -

1. Prepare a schedule of cost of goods manufactured for Leslie Limited.

2. Prepare an income statement for Leslie Limited.