Reimel Furniture Company, Inc., incurred the following costs during 20x2. Raw material used $174,000 Direct labor 324,000 During 20x2, manufacturing overhead of $180,000 was applied to production. Products costing $120,000 were finished, and products costing $132,000 were sold on account for $195,000. There were no purchases of raw material during the year. The beginning balances in the firm's inventory accounts are as follows: Required: Raw material $227,000 Work in process Finished goods 18,000 30,000 1. Prepare T-accounts to show the flow of costs through the company's manufacturing accounts during 20x2. 2. Prepare a partial balance sheet and a partial income statement to reflect the information given above. (Hint: See Exhibit 3-2.)