Manufacturing Income Statement, Statement of Cost of Goods Manufactured cost of good manufactured statement for Several items are omitted from the income statement and data two different companies for the month of December 2014 Grant McClellan Company Company Materials inventory, December 1 $65,430 $87,680 (a) 99,080 Materials inventory, December 31 Materials purchased 166,190 197,280 Cost of direct materials used in production 175,350 (a) Direct labor 246,670 (b) Factory overhead 76,550 98,200 Total manufacturing costs incurred during December (b) 567,290 Total manufacturing costs 624,200 778,600 Work in process inventory, December 1 125,630 211,310 106,000 Work in process inventory, December 31 (c) Cost of goods manufactured (c) 562,030 Finished goods inventory, December 1 110,580 98,200 115,810 (d) Finished goods inventory, December 31 Sales 964,440 876,800 Cost of goods sold (d) 567,290 Gross profit (e) operating expenses 125,630 Net income 194,650