The following balances were extracted from the books of Wang Manufacturing on 30 April 2017. Inventory at 1 May 2016 Raw materials $18200 Work in progress $23000 Finished goods $37000 Purchases of raw materials $210000 Purchases of finished goods $135000 Manufacturing wages $102000 Direct factory expenses $8800 Factory management salaries $36500 Buildings maintenance $31000 Administration salaries $71400 Revenue $755000 Rent $24000 Rent receivable $3300 Insurance $9800 Selling expenses $18500 Other operating expenses $32300 Factory machinery (cost) $120000 Office fixtures and fittings (cost) $18000 Provisions for depreciation Factory machinery $30000 Office fixtures and fittings $12500 Provision for doubtful debts $3500 Capital $150000 Drawings $45000 Trade receivables $63100 Trade payables $59000 Bank $9700 Debit Additional information at 30 April 2017 1 Inventory Raw materials $16500 Work in progress $18100 Finished goods $41500 2 Manufacturing wages of $2500 are owing. 3 Rent and insurance are to be apportioned 50% to the factory and 50% to administration. 4 $25000 of the buildings maintenance relates to the factory. 5 Selling expenses of $1400 were prepaid. 6 Office fixtures and fittings costing $5000 had been purchased by cheque. No entries had been made in the books. 7 Depreciation is to be charged as follows: (i) Factory machinery at 25% per annum using the diminishing (reducing) balance method (ii) Office fixtures and fittings at 10% using the straight-line method. 8 A debt of $3100 was considered irrecoverable. The provision for doubtful debts is to be maintained at 5%. REQUIRED

1. (a)Prepare the manufacturing account of Wang Manufacturing for the year ended 30 April 2017. Show clearly the prime cost and the cost of production.[15]
2. (b)Prepare the income statement for the year ended 30 April 2017.[15]
3. (c)Prepare the statement of financial position at 30 April 2017.[10]