Manufacturing Income Statement, Statement of Cost of Goods Manufactured Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of December: On Off Company Company Materials inventory, December 1 $56,090 $74,040 Materials inventory, December 31 (a) 83,670 Materials purchased 142,470 (a) Cost of direct materials used in production 150,320 (b) Direct labor 211,460 166,590 Factory overhead 65,630 82,920 Total manufacturing costs incurred in December (b) 479,040 Total manufacturing costs 535,100 535,100 Work in process inventory, December 1 107,690 178,440 Work in process inventory, December 31 90,870 (c) Cost of goods manufactured (c) 474,600 Finished goods inventory, December 11 94,790 82,920 Finished goods inventory, December 31 99,280 (d) Sales 826,770 740,400 Cost of goods sold (d) 479,040 Gross profit (e) (e) Operating expenses 107,690 (5)