Ravsten Company uses a job-order costing system. On January 1, the beginning of the current year, the company's inventory balances were as follows: Raw materials Work in process Finished goods The company applies overhead cost to jobs on the basis of machine-hours. For the current year, the company estimated that it would work 36,000 machine-hours and incur $155,520 in manufacturing overhead cost. The following transactions were recorded for the year: $16,700 $10,700 $31,400 a. Raw materials were purchased on account: $203,500. b. Raw materials were requisitioned for use in production: $193,500 (80% direct and 20% indirect). c. The following costs were incurred for employee services: Direct labour Indirect labour Sales commissions Administrative salaries $163,500 $ 27,700 $36,700 $ 81,400 $15.700 d. Heat, power, and water costs were incurred in the factory: $42,700. e. Prepaid insurance expired during the year: $10,700 (90% relates to factory operations, and 10% relates to selling and administrative activities). f. Advertising costs were incurred, $50,700. g. Depreciation was recorded for the year: $60,700 (85% relates to factory operations, and 15% relates to selling and administrative activities). h. Manufacturing overhead cost was applied to production. The company recorded 40,000 machine-hours for the year. i. Goods that cost $488,400 to manufacture according to their job cost sheets were transferred to the finished goods warehouse. j. Sales for the year totalled $724,500 and were all on account. The total cost to manufacture these goods according to their job cost sheets was $482,000. 4. Prepare an income statement for the year. (Do not round intermediate calculations and round your final answers to nearest whole dollar amount.)