Hello, I'm stuck on the statement of Cost of Services and the Income Statement. Can you explain how I need to calculate this? My instructions are:

The following are the actual numbers for January:

Materials Purchased $5,000 of Materials , Consumed 40% of those purchased materials

Direct Labor $6,240

Overhead $2,800

The following is the work that I did. Did I do this correctly?

Beginning Work in Process Inventory 0

Direct Materials:

Materials - Beginning 5,000.00

Add: Purchases for month of January $7,000.00

Materials Available for Use 3,000

Deduct: Ending Materials -

Materials Used $ 2,000.00

Direct Labor 6,240

Overhead 2,800

Total Service Costs $9,040.00

Deduct:Ending Work in Process Inventory 0

Cost of Services $-

* Cost of Goods Sold = Cost of Services

There is no finished goods inventory to maintain.