1. Karban Software Solutions Company is a manufacturer of computers. Its controller resigned in May 2019. An inexperienced assistant accountant has prepared the following income statement for the month of May 2019. KARBAN SOFTWARE SOLUTIONS COMPANY INCOME STATEMENT For the month ended May 31, 2019 Sales (net) OMR 138500 Less: Operating expenses Raw materials purchases OMR 46200 Direct labor cost 32250 Advertising expense 1 Sosa Selling and administrative salaries 12125 Rent on factory facilities 1005 Depreciation on sales equipment 5425 Depreciation on factory equipment 7878 lindirect labore 6900 Utilities expense 2100 Insurance expense 139375 Net Loss (875 1400 Prior to May 2019, the company had been profitable every month. The company's president is concerned about the accuracy of the income statement. As her friend, you have been asked to review the income statement and make necessary corrections. After examining other manufacturing cost data, you have acquired additional information as follows. a. Inventory balances at the beginning and end of May were: May-01 May-31 Raw materials OMR 2150 OMR 4950 Work in process 1800 1450 Finished goods 4250 7400 b. Only 60% of the utilities expense and 35% of the insurance expense apply to factory operations. The remaining amounts should be charged to selling and administrative activities. Instructions: (A) Prepare a schedule of cost of goods manufactured for May 2019. (B) Prepare a correct income statement for May 2019