19-23

Shaffer Company has the following information for the year ended December 31, 2016. Use the information to prepare a schedule of cost of goods manufactured and an income statement. Assume no indirect materials are used and all accounts are shown in millions.

Inventories:	Beginning	Ending
Raw Materials	8	9
Work-In-Process	14	19
Finished Goods	4	11
Other Information:
Sales Revenue		228
Selling and Administrative Expenses		64
Direct Labor		46
Manufacturing Overhead		16
Materials Purchases		25