Hampton Company had the following inventory balances at the beginning and end of the year:         

During the year, the company purchased $100,000 of raw material and spent $340,000 on direct labor. Other data: Manufacturing overhead incurred $450,000; sales, $1,560,000; selling and administrative expenses, $90,000; income tax rate, 30%.

Required:
Calculate:
A. Cost of goods manufactured.
B. Cost of goods sold.
C. Netincome.

Transcribed Image Text:

January December 31 Raw material Work in process Finished goods 50,000 35,000 30,000 170 280,000 255,000