Information from the records of the Vally Manufacturing Company for August 2012 follows:
Sales................................................$205,000
Selling and administrative expenses...............85000
Purchases of raw materials.........................25,000
Direct labor............................................15,000
Manufacturing overhead.............................32,000
Inventories
August 1 August 31
Raw materials...........$8000.........................$5000
Work-in process.......14,000.........................11,000
Finished goods........19,000.........................19,000
Required:
Prepare a statement of cost of goods manufacturing and an income statement for August 2012.