ACT500 – critical thinking

No other submission format is allowed. Review the grading rubric to confirm you are meeting the assignment requirements. (All amounts in SAR except units.)
Given the following information for Johnson Corporation: Advertising costs
300,000
Office rent
20,000
Direct materials
850,000
Delivery vehicle depreciation
80,000
Factory repair and maintenance
425,000
Sales salary
505,000
Indirect labor
205,000
Manufacturing equipment depreciation
180,000
Administrative salaries
320,000
President’s salary
650,000
Sales revenue
5,400,000
Indirect materials
180,000
Direct labor
1,400,000
Machine hours
2,500
Direct labor hours
11,000
Machine hours per unit
3
Direct labor hours per unit
5
Direct materials per unit
?
Units manufactured
600
Units sold
350
Given the above information for Johnson Corporation:
Create a list that identifies the total period costs.
Calculate overhead per unit based on machine hours.
Calculate the total product cost for units manufactured (“direct materials per unit”).
Calculate total cost of goods sold.
Prepare income statement in good form assuming no beginning inventory.