Exercise 11-11A (Algo) Preparing financial statements LO 11-3 Rundle Corporation began fiscal Year 2 with the following balances in its inventory accounts. Raw Materials Work in Process Finished Goods $ 54,100 83,100 26,700 During the accounting period, Rundle purchased $238,200 of raw materials and issued $249,500 of materials to the production department. Direct labor costs for the period amounted to $322,700, and manufacturing overhead of $46,800 was applied to Work in Process Inventory. Assume that there was no over- or underapplied overhead. Goods costing $610,200 to produce were completed and transferred to Finished Goods Inventory. Goods costing $601,600 were sold for $801,900 during the period. Selling and administrative expenses amounted to $71,600. Required a. Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet. b1. Prepare a schedule of cost of goods manufactured and sold. b2. Prepare an income statement. Complete this question by entering your answers in the tabs below. b2. Prepare an Income statement. Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Determine the ending balance of each of the three Inventory accounts that would appear on the year-end balance sheet. Ending Balance Raw materials Work in process Finished goods RUNDLE CORPORATION Schedule of cost of goods manufactured and sold For the year ended Year 2 Raw materials available Raw materials used Total manufacturing costs Total work in process inventory Cost of goods manufactured Goods available for sale Cost of goods sold < Req A Req B2> Req A Req B1 Req B2 Prepare an income statement. RUNDLE CORPORATION Income Statement For the year ended Year 2 < Req B1