Exercise 2-40 Prepare Statements for a Manufacturing Company (LO 2-2, 4)

The following balances are from the accounts of Crabtree Machining Company:

	January 1 (Beginning)			December 31 (Ending)
Direct materials inventory	$	99,400		$	110,300
Work-in-process inventory		109,000			108,000
Finished goods inventory		43,700			45,500

Direct materials purchased during the year amount to $514,500, and the cost of goods sold for the year was $1,885,000.

Required:

Prepare a cost of goods sold statement.