Answer:
Net income for the period is:
= $525,000.
Explanation:
a) Data and Calculations:
Sales revenues for the period $ 1,309,000
Operating expenses for the period 244,000
Finished Goods Inventory, January 1 41,000
Cost of goods manufactured for the period 545,00
Finished Goods Inventory, December 31 (46,000)
Cost of goods sold for the period = 540,000
Income Statement for the period:
Sales revenues for the period $ 1,309,000
Cost of goods sold for the period = (540,000)
Gross profit for the period = $769,000
Operating expenses for the period (244,000)
Net income for the period = $525,000
