Example 2 (a) Prepare the Inventory T-account for manufacturing companies. (6) Prepare the Income statement for manufacturing companies. E2-25A Compute Cost of Goods Manufactured and cost of Goods Sold (Learning Objective 5) Compute the cost of Goods Manufactured and Cost of Goods Sold for Blue Sea Company for the most recent year using the amounts described next. Assume that Raw Materials inventory contains only direct materials. Beginning End End of Year of Year of Year Raw materials inventory $27.000 $31,000 Insurance on plant. $ 8.000 Work in process inventory $43,000 $28,000 Depreciation-plant building and equipment $12,700 Finished goods inventory $16,000 $29,000 Repairs and maintenance--plant. $ 4,100 Purchases of direct materials 579,000 Marketing expenses. $76,000 Direct labor.... 583,000 General and administrative expenses $27.500 Indirect labor 546,000 E2-26A Continues E2-25A: Prepare income statement (Learning Objective 5) Prepare the income statement for Blue Sea Company in E2-25A for the most recent year. Assume that the company sold 39,000 units of its product at a price of $10 each during the year