Tungsten Company, Inc., sells heavy construction equipment. There are 13,500 shares of capital stock outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the general ledger on December 31,2014 Debit CreditCash $33,600 Accounts receivable (net) 14,400 Inventory, ending 52,000 Operational assets 40,000 Accumulated depreciation 16,800Liabilities 24,000Capital stock 72,000Retained earnings, January 1, 2014 9,280Sales revenue 147,100Sales returns and allowances 5600 Cost of goods sold 78400 Selling expense 14100 Administrative expense 15400 Bad debt expense 1600 Sales discounts 6400 Income tax expense 7680 Total 269,180 269,180Required: a. Beginning with the amount for net sales, prepare an income statement (showing both gross profit and income from operations). Treat sales discounts and sales returns and allowances as a contra-revenue. b. The beginning balance in Accounts Receivable (net) was S16,OOO. Compute the receivables turnover ratio and explain its meaning.

The chromosome manufacturing company produces two products, x and y. the company president, jean mutation, is concerned about the fierce competition in the market for product x. she notes that competitors are selling x for a price well below chromosome's price of $13.50. at the same time, she notes that competitors are pricing product y almost twice as high as chromosome's price of $12.50.ms. mutation has obtained the following data for a recent time period: product x product y number of units 11,000 3,000 direct materials cost per unit $3.23 $3.09 direct labor cost per unit $2.22 $2.10 direct labor hours 10,000 3,500 machine hours 2,100 1,800 inspection hours 80 100 purchase orders 10 30ms. mutation has learned that overhead costs are assigned to products on the basis of direct labor hours. the overhead costs for this time period consisted of the following items: overhead cost item amount inspection costs $16,200 purchasing costs 8,000 machine costs 49,000 total $73,200using direct labor hours to allocate overhead costs determine the gross margin per unit for product x. choose the best answer from the list below.a. $1.93b. $3.12c. $7.38d. $2.43e. $1.73using activity-based costing for overhead allocation, determine the gross margin per unit for product y. choose best answer from list below.a. $10.07b. ($2.27)c. ($5.23)d. ($7.02)e. $7.02