Empire Company is a manufacturer of smart phones. Its controller resigned in October 2017. An inexperienced assistant accountant has prepared the following income statement for the month of October 2017. EMPIRE COMPANY Income Statement For the Month Ended October 31, 2017 $794,400 Sales revenue Less: Operating expenses $263,500 Raw materials purchases 191,800 Direct labor cost 92,300 Advertising expense 76,900 Selling and administrative salaries Rent on factory facilities Depreciation on sales equipment Depreciation on factory equipment 62,500 45,100 33,000 29,500 Indirect labor cost 12,400 Utilities expense 815,100 8,100 Insurance expense $(20,700) Net loss Prior to October 2017, the company had been profitable every month. The company's president is concerned about the ent. As her friend, you have been asked to review the income statement and make netessary accuracy of the income state corrections. After examining other manufacturing cost data, you have acquired additional information as follows Utilities expense 12,400 Insurance expense 8,100 815,100 Net loss $(20,700) Prior to October 2017, 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. 1. Inventory balances at the beginning and end of October were: October 1 October 31 Raw materials $20,400 $35,700 Work in process 21,000 14,200 Finished goods 29,900 53,500 2. Only 75% of the utilities expense and 60 % of the insurance expense apply to factory operations. The remaining amounts should be charged to selling and administrative activities. Prepare a schedule of cost of goods manufactured for October 2017. (Round answers to O decimal places, e.g. 125.) EMPIRE COMPANY Cost of Goods Manufactured Schedule EMPIRE COMPANY Income Statement $