Koufax Materials Corporation produces plastic products for home appliances and electronics. The financial department has produced the following information for the year ended December 31.

Administrative salaries	$	2,644,000
Depreciation on the administrative building		1,161,000
Depreciation on the manufacturing plant		1,769,000
Direct labor		4,711,500
Direct materials inventory, January 1		1,088,200
Direct materials inventory, December 31		1,254,000
Direct materials purchased during the year		8,975,000
Distribution costs		676,000
Finished goods inventory, January 1		1,661,000
Finished goods inventory, December 31		1,388,500
Indirect labor		561,000
Insurance (on manufacturing plant)		72,200
Legal fees		515,300
Maintenance (on the manufacturing plant)		234,400
Manufacturing plant utiities		803,100
Marketing costs		768,250
Other manufacturing plant costs		649,880
Sales revenue		22,673,920
Taxes (on manufacturing plant and property)		234,600
Work-in-process inventory, January 1		422,250
Work-in-process inventory, December 31		415,700

Required:

a. Prepare a cost of goods manufactured and sold statement.

b. Prepare an income statement.