a.

1.

	Prepare a schedule of cost of goods manufactured.
	2. Prepare a schedule of cost of goods sold. 3. Prepare an income statement for the year.

Problem 2-23A Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO2-6] Superior Company provided the following account balances for the year ended December 31 (all raw materials are used in production as direct materials): $216,000 $269,000 Selling expenses Purchases of raw materials Direct labor Administrative expenses Manufacturing overhead applied to work in process Total actual manufacturing overhead costs $158,000 $331,000 $354,000 Inventory balances at the beginning and end of the year were as follows Beginning of Year End of Year Raw materials Work in process Finished goods 60,000 37,000 ? 28,000 $ 33,000 The total manufacturing costs for the year were $685,000; the cost of goods available for sale totaled $740,000; the unadjusted cost of goods sold totaled $668,000; and the net operating income was $39,000. The company's overapplied or underapplied overhead is closed entirely to Cost of Goods Sold