Response to the following problem:
The following data from the just completed year are taken from the accounting records of Eccles Company:
Sales $ 643,000
Direct labor cost $ 90,000
Raw material purchases $ 132,000
Selling expenses $ 100,000
Administrative expenses $ 43,000
Manufacturing overhead applied to work in process $ 210,000
Actual manufacturing overhead costs $ 220,000
Inventories:
Beginning of Year End of Year
Raw materials $ 8,000 $ 10,000
Work in process $ 5,000 $ 20,000
Finished goods $ 70,000 $ 25,000
Required:
1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. (Input all amounts as positive values.)
2. Prepare a schedule of cost of goods sold.
3. Prepare an income statement.