Financial Statements of a Manufacturing Firm

The following events took place for LAE Manufacturing Company during January 2014, the first month of its operations as a producer of digital thermometers:

Purchased $45,900 of materials

Used $35,300 of direct materials in production.

Incurred $52,800 of direct labor wages.

Incurred $74,400 of factory overhead.

Transferred $123,500 of work in process to finished goods.

Sold goods with a cost of $98,200.

Earned revenues of $220,800.

Incurred $56,500 of selling expenses.

Incurred $24,800 of administrative expenses.

a. Prepare the January 2014 income statement for LAE Manufacturing Company.