Question

The administrative offices and manufacturing plant of Billings Tool& Die share the same building. The following information (in$000s) appears in the accounting records for last year:

Administrative costs	$	1,658
Building andmachine depreciation (75% of this amount is for factory)		900
Buildingutilities (90% of this amount is for factory)		1,310
Directlabor		845
Directmaterials inventory, December 31		14
Directmaterials inventory, January 1		10
Directmaterials purchases		3,630
Factorysupervision		481
Finished goodsinventory, December 31		69
Finished goodsinventory, January 1		55
Indirectfactory labor		915
Indirectmaterials and supplies		679
Marketingcosts		879
Property taxeson building (85% of this amount is for factory)		800
Salesrevenue		12,916
Work-in-process inventory, December 31		25
Work-in-process inventory, January 1		32

Required:

Prepare an income statement with a supporting cost of goods soldstatement. (Enter your answersin thousands of dollars (i.e., 234,000 should be entered as234).)