Cornelius Company produces women's clothing. During the year, the company incurred the following costs: Factory rent Direct labor Utilities-factory Purchases of direct materials Indirect materials Indirect labor $ 399,500 339,000 43,200 587,500 77,050 67,800 Inventories for the year were as follows: Materials Work-in-Process Finished Goods January 1 $ 31,500 December 31 $49,750 48,250 148,000 42,600 82,150 Required: 1&2. Prepare a statement of cost of goods manufactured and calculate cost of goods sold. Cornelius Company Statement of Cost of Goods Manufactured For the Year Ended December 31 Direct materials Beginning materials inventory Materials purchases $ 31,500 587,500 Materials available Less: Ending materials inventory $ 49,750 Materials used Direct labor