Pro-Leather Company is a manufacturer of leather cases for tablets. The following information pertains to operations during the 2020 calendar year. Sales Revenue Direct Factory Labor $14,275,000 3.952,600 Indirect Factory Labor Total Depreciation: Total Utilities 2 Distribution & Customer Service Costs Insurance on Plant & Equipment Property Taxes 3 Administrative Wages & Salaries | Advertising Expenses Sales Commission 1,232,250 400,000 525.000 76,800 585,000 90,000 1,076,000 57.700 6% of Sales Revenue "Of the total depreciation, 80% relates to factory plant & equipment and 20% relates to general and administrative costs. * Of the total utilities, 75% relates to production and 25% relates to general and administrative costs. 3 The property taxes should be shared: 85% production & 15% general & administrative costs The following additional information is also available: Inventory Data: 1/1/2020 Purchases 31/12/2020 Raw Materials $750,000 $4.330,000 320,000 n/a n/a $807,000 Indirect Materials 55,000 1,115,400 1,142,600 71,500 924,000 Work in Progress Finished Goods 1,720,200
Pro-Leather Company is a manufacturer of leather cases for tablets. The following information pertains to operations during the 2020 calendar year. Sales Revenue Direct Factory Labor $14,275,000 3.952,600 Indirect Factory Labor Total Depreciation: Total Utilities 2 Distribution & Customer Service Costs Insurance on Plant & Equipment Property Taxes 3 Administrative Wages & Salaries | Advertising Expenses Sales Commission 1,232,250 400,000 525.000 76,800 585,000 90,000 1,076,000 57.700 6% of Sales Revenue "Of the total depreciation, 80% relates to factory plant & equipment and 20% relates to general and administrative costs. * Of the total utilities, 75% relates to production and 25% relates to general and administrative costs. 3 The property taxes should be shared: 85% production & 15% general & administrative costs The following additional information is also available: Inventory Data: 1/1/2020 Purchases 31/12/2020 Raw Materials $750,000 $4.330,000 320,000 n/a n/a $807,000 Indirect Materials 55,000 1,115,400 1,142,600 71,500 924,000 Work in Progress Finished Goods 1,720,200
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter10: Accounting Systems For Manufacturing Operations
Section: Chapter Questions
Problem 10.3E: Classifying costs as factory overhead Which of the following items are properly classified as part...
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What is the
How does the format of the income statement for a manufacturing concern differ from the income statement of a merchandising entity?
![Pro-Leather Company is a manufacturer of leather cases for tablets. The following information pertains
to operations during the 2020 calendar year.
Sales Revenue
Direct Factory Labor
$14,275.000
3.952,600
Indirect Factory Labor
Total Depreciation'
Total Utilities 2
Distribution & Customer Service Costs
1,232,250
400,000
525,000
76,800
Insurance on Plant & Equipment
Property Taxes 3
Administrative Wages & Salaries
Advertising Expenses
Sales Commission
585,000
90,000
1,076,000
57.700
6% of Sales Revenue
*Of the total depreciation, 80% relates to factory plant & equipment and 20% relates to general and
administrative costs.
* Of the total utilities, 75% relates to production and 25% relates to general and administrative
costs.
3 The property taxes should be shared: 85% production & 15% general & administrative costs
The following additional information is also available:
Inventory Data: 1/1/2020 Purchases 31/12/2020
$750,000 $4.330,000
320,000
n/a
n/a
Raw Materials
$807,000
Indirect Materials
55,000
Work in Progress
Finished Goods
1,115.400
1,142,600
71,500
924.000
1,720,200](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F341ee0a8-c0d5-4539-bb18-710aa2083769%2Fa0f5e75f-9601-4c9a-85f0-cfb4d29f0f1e%2Frofb0p7_processed.png&w=3840&q=75)
Transcribed Image Text:Pro-Leather Company is a manufacturer of leather cases for tablets. The following information pertains
to operations during the 2020 calendar year.
Sales Revenue
Direct Factory Labor
$14,275.000
3.952,600
Indirect Factory Labor
Total Depreciation'
Total Utilities 2
Distribution & Customer Service Costs
1,232,250
400,000
525,000
76,800
Insurance on Plant & Equipment
Property Taxes 3
Administrative Wages & Salaries
Advertising Expenses
Sales Commission
585,000
90,000
1,076,000
57.700
6% of Sales Revenue
*Of the total depreciation, 80% relates to factory plant & equipment and 20% relates to general and
administrative costs.
* Of the total utilities, 75% relates to production and 25% relates to general and administrative
costs.
3 The property taxes should be shared: 85% production & 15% general & administrative costs
The following additional information is also available:
Inventory Data: 1/1/2020 Purchases 31/12/2020
$750,000 $4.330,000
320,000
n/a
n/a
Raw Materials
$807,000
Indirect Materials
55,000
Work in Progress
Finished Goods
1,115.400
1,142,600
71,500
924.000
1,720,200
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