Popeye Company is a metal and wood cutting manufacture, selling products to the home construction market. Consider the following data for the month of October, 2004.

Required

(i) Prepare an income statement with a separate supporting schedule of cost of goods manufactured.
(ii) For all manufacturing items, indicate by V or F whether each is basically a variable cost or a fixed cost (where the cost object is a product unit).

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Sandpaper Material-handling costs Lubricants and Coolants Miscellaneous indirect manufacturing labour Direct manufacturing labour Direct materials, October 1, 2004 Direct materials, October 31, 2004 Finished goods, October 1, 2004 Finished goods, October 31, 2004 Work-in-process, October 1, 2004 Work-in-process, October 31, 2004 Plant-leasing costs Depreciation-plant equipment Property taxes on plant equipment Fire insurance on plant equipment Direct materials purchased Sales revenues Marketing promotions Marketing salaries Distribution costs Customer-service costs Rs. 5,000 1,75,000 12,500 1,00,000 7,50,000 1,00,000 1,25,000 2,50,000 3,75,000 25,000 35,000 1,35,000 90,000 10,000 7,500 11,50,000 34,00,000 1,50,000 2,50,000 1,75,000 2,50,000