The following costs and revenue pertain to the Swiss Chocolate Manufacturing Company, a
U.S.
producer of chocolate bars, for July 2015.
 
Swiss Chocolate Manufacturing Company
Jun-15
Jul-15
 Raw materials inventory
 $ 77,000
 $  91,000
 Work-in-process inventory
 $ 73,500
 $  70,000
 Finished goods inventory
$  63,000
 $  80,500
 Purchases of raw materials
 
 $  262,500
 Direct manufacturing labor
 
 $  87,500
 Indirect manufacturing labor
 
 $  52,500
 Factory insurance
 
 $  31,500
 Depreciation — machinery and factory
 
 $  38,500
 Repairs and maintenance — factory
 
 $  14,000
 Selling, marketing and distribution expenses
 
 $  40,000
 General and administrative expenses
 
 $  60,000
 Revenues
 
 $ 1,050,000
Requirements:
Complete the cost of goods manufactured statement for Swiss Chocolate for July 2015.
Complete the income statement for Swiss Chocolate (assume that the company incurs no interest financing costs and has a tax rate of 30%).
Compute Swiss Chocolate’s gross profit margin and net profit margin for July 2015. Recall that the gross profit margin percentage = gross profit margin/revenue, and net profit margin = net profit margin/revenue.
Swiss Chocolate’s closest publicly held competitor has a gross margin percentage of 50% and a net profit margin of 15%. Compare Swiss Chocolate’s performance for July 2015 to that of its competitor. What do you note regarding relative production cost and relative period costs in this comparison? Which company appeared to have performed better? Explain your answer.
Your paper should meet the following requirements:
 
3-4 pages in length including calculations
Format according to the
 
APA Requirements
Include at least three outside sources