Required:

1. Prepare a schedule of cost of goods manufactured

2. Prepare a scedule of cost of goods sold

3. Prepare an income statement for the year

Superior Company provided the following account balances for the year ended December 31 (all raw materials are used in production as direct materials) $211,000 Selling expenses $268,000 Purchases of raw materials Direct labor Administrative expenses $155,000 Manufacturing overhead applied to work in process $332,000 Total actual manufacturing overhead costs $357,000 Inventory balances at the beginning and end of the year were as follows: Beginning of End of Year Year Raw materials 50,000 39,000 29,000 Work in process Finished goods 36,000 The total manufacturing costs for the year were $680,000; the cost of goods available for sale totaled $720,000; the unadjusted cost of goods sold totaled $667,000, and the net operating income was $34,000. The company's overapplied or underapplied overhead is closed entirely to Cost of Goods Sold