Nexient Company Supplied the Following Data and Information on Inventories

Essay

Nexient Company supplied the following data and information on inventories at the end of the current year.
$$\begin{array} { l r r } & \text { January 1 } & \text { December } 31 \\\text { Materials } & \$ 21,000 & \$ 23,500 \\\text { Work in process } & 17,500 & 8,500 \\\text { Finished goods } & 26,000 & 27,000\end{array}$$ Required: Prepare an income statement of Nexient Company for the current year
$$\begin{array} { l r } \text { Direct labour } & \$ 0,000 \\\text { Selling expenses } & 31,000 \\\text { Sales revenue } & 400,000 \\\text { Administrative expenses } & 14,500 \\\text { Purchases of raw materials } & 62,000 \\\text { Factory supervision } & 50,000 \\\text { Factory supplies used } & 25,000\end{array}$$