2. Flows of Cost The following information pertains to the Taylor Company for the year ending December 31, 2016: Sales $1,000,000 Purchases of raw materials 220,000 Indirect labor 17,000 Indirect materials 10,000 Depreciation of factory equipment 40,000 Depreciation of factory buildings 35,000 Depreciation of administrative building 87,500 Marketing costs 145,000 Direct labor 173,500 Raw materials inventory, 12-31-16 28,500 Work in process, 1-1-16 53,500 Raw materials inventory, 1-1-16 33,000 Work in process, 12-31-16 41,500 Finished goods inventory, 1-1-16 121,500 Finished goods inventory, 12-31-16 96,000 Required: a. Prepare a statement of cost of goods manufactured. b. Prepare a functional income statement for the Taylor Company for the year ending December 31, 2016