(a) Schedule of Cost of Goods Manufactured for the year ended 31.12.2010 Direct Material Raw-materials inventory, 1.1.

2010 88500 Add: Purchases of raw materials 227100 Raw Materials available for use 315600 Less: Raw-materials inventory 31.12.2010 94200 raw materials used 221400 Direct Labour 340500 Prime Cost 561900 Manufacturing overhead: indirect material 100000 indirect labour 30000 depreciation- plant & equipment 40000 utilities expense 50000 others 8000 total manufacturing overhead 228000 total manufacuting costs 789900 add: work-in-process inventory, 1.1.2010 105000 less:work-in-process inventory, 1.1.2010 cost of goods manufactured
894900 84600 810300

b) schedule of cost of goods sold for the year ended 31.12.2010 finished goods inventory, 31.12.2010 255000 add: cost of goods manufactured 810300 cost of goods available for sale 1065300 less:finished goods inventory, 31.12.2010 240000 cost of goods sold 825300 c) income statement for the year ended 31.12.2010 sales revenue gross profit less: general expenses less tax @ 17%
1080000 825300 254700 54000 36000 164700 27999 136701

less: cost of goods sold

less: selling expenses

net income before tax

net income after tax