Part I (10 Points) The following information is for A. R. Lomax Corporation: IS Sales $2,000,000 Depreciation on the factory TS Sales salaries $43,000 Purchase of direct material coa Indirect labor S200,000 Utilities, factory Co Insurance, factory S25,000 Advertising expense COCLubricants factory machines S12,000 Depreciation on office equipment Direct labor S220,000 Accounts receivable X Office utilities S6,000 Depreciation on office building $21,000CDAM $240,000 $17,000 COOM $35,000 to $45,000 1 $31,000 X $33,000 119 Inventories at the beginning and at the end of the year were as follows: 1/1/20 12/3120 Direct materials $19,000 $11,000 Work in process 550.000 $20,000 Finished goods S35,000 $24,000 Required: Compute the following: Be sure to label your work! Direct Materials Used (2 points) Cost of Goods Manufactured assuming Direct Materials Used is $280,000 (5 points) Income Statement (3 points) Direct Materials Used O o 0 Subtotal Direct Materials Used Regardless of your answer for DM used, please use $280,000 on the COGM statement of pg.21 (Continued) Fall 2017 A303 Quickie ad ES COST OF GOODS MANUFACTURED Nrw Material Cream) 20.000 Charade Total Me. Costs Salatal Cost of Goods Manufactured Income Statement For the Year Ended 12/31/20 Re: COGS: Subtotal COGS Operating Expenses: Net Income