The following information is available for Satterfield's Custom Glass for the fiscal year:
ending December 31, 2011
Beginning balance in Work in Process $200,000
Ending balance in Work in Process 300,000
Beginning balance in Finished Goods 500,000
Ending balance in Finished Goods 400,000
Direct material cost 2,000,000
Direct labor cost 2,400,000
Manufacturing overhead 1,700,000
Selling expenses 250,000
General and administrative expenses 450,000
Sales 8,000,000
Required:
a. Prepare a schedule of cost of goods manufactured.
b. Prepare an income statement for fiscal 2011. Ignore income taxes.