Problem 2-23A Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO2-6] Superior Company provided the following account balances for the year ended December 31 (all raw materials are used in production as direct materials):

Problem 2-23A Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO2-6] Superior Company provided the following account balances for the year ended December 31 (all raw materials are used in production as direct materials) $215,000 Selling expenses $266,000 Purchases of raw materials Direct labor Administrative expenses $157,000 Manufacturing overhead applied to work in process $333,000 $356,000 Total actual manufacturing overhead costs Inventory balances at the beginning and end of the year were as follows: Beginning of Year End of Year Raw materials 58,000 33,000 Work in process 31,000 31,000 Finished goods The total manufacturing costs for the year were $670,000; the cost of goods available for sale totaled $730,000; the unadjusted cost of goods sold totaled S669,000, and the net operating income was $35,000. The company's overapplied or underapplied overhead is closed entirely to cost of Goods Sold (Hint: Prepare the income statement and schedule of cost of goods sold first followed by the schedule of cost of goods manufactured.)