A partial list of account balances for the Jahn Corporation as of December 31, 1997, follows:

Required:
Prepare an income statement with a cost of goods manufactured section.

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Revenue and Expenses: Purchases of raw materials $ 160,000 Raw materials.. January 1 Inventories: $ 45,000 Direct labor. Indirect labor Rent-factory. Depreciation-machinery Insurance-factory. 225,000 Work in process 40,000 Finished goods 30,000 125,000 84,000 35,000 December 31 Inventories: 18,000 Raw materials. $ 40,000 Salespersons' salaries 72,000 Work in process 35,000 Maintenance-machinery. 12,000 Finished goods 110,000 Administrative salaries 50,000 Miscellaneous-factory.. 26,000 Miscellaneous-office. 40,000 Sales. 850,000