Question - The following events took place for lae manufacturing company during march, the first month of its operations as a producer of digital clocks:
a. purchased 52,000 of materials
b. used 40,000 of direct materials in production
c. incurred 60,000 of direct labor wages
d. incurred 84,000 of factory overhead
e. transferred 140,000 of work in process to finished goods
f. sold goods with a cost of 110,000
g. earned revenues of 250,000
h. incurred 64,000 of selling expenses
i. incurred 28,000 of administrative expenses
Now prepare the march income statement of lae manufacturing company and determine the inventory balances at the end of the first month of operations.