Inventories January 1 December 31 Materials $467,100 840,780 Work in process Finished goods $579,200 787,710 805,090 808,080 $393,280 55,600 74,720 891,970 29,540 Advertising expense Depreciation expense-office equipment Depreciation expense-factory equipment Direct labor Heat, light, and power-factory Indirect labor Materials purchased Office salaries expense Property taxes-factory Property taxes-headquarters building Rent expense-factory Sales 104,260 874,590 305, 240 24,330 50,390 41,120 Sales salaries expense 4,094,940 502,750 20,270 Supplies-factory Miscellaneous costs-factory Required: 12,740 Shanika Company Statement of Cost of Goods Manufactured For the Year Ended December 31, 20Y6 Direct materials: Factory overhead: Total factory overhead Total manufacturing costs incurred Total manufacturing costs Cost of goods manufactured 2. Prepare the income statement. Shanika Company Income Statement For the Year Ended December 31, 2016 Cost of goods sold: Operating expenses: Administrative expenses: Selling expenses: Total operating expenses