(b) (a) Spiron Manufacturing Manufacturing Account for the year ended 30 April 2015, $ $ Raw materials inventory 1 May 2014 Purchases of raw material Raw materials inventory 30 April 2015 Cost of raw materials consumed Factory wages Direct expenses, Prime cost Factory overheads: Managers’ salaries, Indirect expenses Rent Insurance Depreciation — machinery Work in progress: At 1 May 2014 At 30 April 2015 Cost of production 10150 85000 (1) 95150 42750) (1) 82400 (1)of+w 47000 (1) 5600 (1) 135000 (1)of +w 32000 (1) 9800 (1) 8000 (1) 6400 (1) 5000 (1) 61200 196200 15000 (16200) (1200) (1) 195000 (1)of +w Income Statement for the year ended 30 April 2015 Revenue Less Inventory of finished goods 1 May 2014 Transferred from manufacturing Purchases of finished goods Inventory of finished goods 30 April 2015 Cost of sales Gross profit Less expenses: Office wages and salaries Rent Insurance Marketing (12 400 — 600) Distribution expenses Financial expenses (7 650 + 850) Bad debt Increase in provision for doubtful debts Depreciation — office fixtures Profit for the year § § 310000 21200 495000 (1)of 49000 (1) 235200 18700) (216500) 93500 (A)oF 41900 (1) 2000 (1) 1600 (1) 41800 (2) 9850 (1) 8500 (2) 1900 (1) 700 (1) 3000 (1) 81.250) 12250 (1)wtof 13] [15]