The following balances appeared in the accounting records of Gupta Manufacturers Limited at 31 December 2017....

 

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The following balances appeared in the accounting records of Gupta Manufacturers Limited at 31 December 2017. Inventory 1/1/2017: Raw materials Raw materials purchased during the year Direct labour costs Factory rental Electricity - 60% for manufacturing Depreciation: Manufacturing plant Delivery vehicles Indirect manufacturing labour Work in progress 1/1/2017 Inventory of finished goods 1/1/2017 Sales for the year Sales and administration expenses Inventory 31/12/2017: Raw materials Work in progress Finished goods (31/12/2017) a) b) c) Prime cost Total cost of goods manufactured Cost of sales Gross profit. R 180 1 560 1 200 300 150 100 50 110 630 3 600 340 240 63 900 Required Draw up the manufacturing and trading sections of the income statement for the year ended 31 December 2017, clearly indicating the following: (20) The following balances appeared in the accounting records of Gupta Manufacturers Limited at 31 December 2017. Inventory 1/1/2017: Raw materials Raw materials purchased during the year Direct labour costs Factory rental Electricity - 60% for manufacturing Depreciation: Manufacturing plant Delivery vehicles Indirect manufacturing labour Work in progress 1/1/2017 Inventory of finished goods 1/1/2017 Sales for the year Sales and administration expenses Inventory 31/12/2017: Raw materials Work in progress Finished goods (31/12/2017) a) b) c) Prime cost Total cost of goods manufactured Cost of sales Gross profit. R 180 1 560 1 200 300 150 100 50 110 630 3 600 340 240 63 900 Required Draw up the manufacturing and trading sections of the income statement for the year ended 31 December 2017, clearly indicating the following: (20)

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