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The following data from the just completed year are taken from the accounting records of Mason Company:

Sales	$	651,000
Direct labor cost	$	88,000
Raw material purchases	$	134,000
Selling expenses	$	109,000
Administrative expenses	$	46,000
Manufacturing overhead applied to work in process	$	202,000
Actual manufacturing overhead costs	$	225,000

Inventories	Beginning of Year		End of Year
Raw materials	$	8,200	$	10,700
Work in process	$	5,500	$	20,500
Finished goods	$	75,000	$	25,700

Required:

1.	Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials.

	Mason Company Schedule of Cost of Goods Manufactured Direct materials: Raw materials available for use Raw materials used in production Total manufacturing costs Cost of goods manufactured

2.	Prepare a schedule of cost of goods sold. Mason Company Schedule of Cost of Goods Sold Beginning finished goods inventory Goods available for sale Unadjusted cost of goods sold Adjusted cost of goods sold

3.Prepare an income statement.

	Mason Company Income Statement Selling and administrative expenses:

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