Business managers frequently operate in a world where data are not readily available. Imagine a situation in which a company experiences a catastrophic event (for example, a hurricane, flood, or fire) and must reconstruct its accounting data. Consider the following independent situations in which selected data are missing:

Required
A. Supply the missing data for each independent situation.
B. Prepare an income statement for each independentsituation.

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Company 1 $ 9,000 4,000 11,000 Company2 $19,000 14,000 Direct materials used Direct labor Manufacturing overhead Total manufacturing costs Beginning work in process Ending work in process Cost of goods manufactured Sales Beginning finished goods inventory Cost of goods manufactured Goods available for sale Ending finished goods inventory Cost of goods sold Gross margin Selling and administrative expenses Net income 35,000 11,000 13,500 6,000 $21,000 $35,000 7,000 $50,000 10,000 14,000 25,500 7,000 $15,500