Required information (The following information applies to the questions displayed below.) The following calendar year-end information is taken from the December 31, 2017, adjusted trial balance and other records of Leone Company. Advertising expense Depreciation expense-Office equipment Depreciation expense-Selling equipment Depreciation expense-Factory equipment Factory supervision Factory supplies used Factory utilities Inventories Raw materials, December 31, 2016 Raw materials, December 31, 2017 Work in process, December 31, 2016 Work in process, December 31, 2017 Finished goods, December 31, 2016 Finished goods, December 31, 2017 $ 32,200 Direct labor 8,600 Income taxes expense 10,000 Indirect labor 32,700 Miscellaneous production costs 125,700 Office salaries expense 7,700 Raw materials purchases 41,600 Rent expense-Office space Rent expense-Selling space 169,600 Rent expense-Factory building 187,000 Maintenance expense-Factory equipment 15,500 Sales 21,500 Sales salaries expense 169,200 139,200 673,800 265, 100 58,600 10,900 61,800 933,000 25,000 28, 200 80,900 35,200 4,606,500 393,100 Required: 1. Prepare the company's 2017 schedule of cost of goods manufactured. LEONE COMPANY Schedule of Cost of Goods Manufactured For Year Ended December 31, 2017 Direct materials Raw materials available for use Direct materials used Factory overhead Total factory overhead costs Total manufacturing costs Total cost of work in process Cost of goods manufactured 2. Prepare the company's 2017 income statement that reports separate categories for (a) selling expenses and (b) general and administrative expenses. LEONE COMPANY Income Statement For Year Ended December 31, 2017 Cost of goods sold Goods available for sale Cost of goods sold Operating expenses Selling expenses Total selling expenses General and administrative expenses Total general and administrative expenses Total operating expenses Income before taxes Net income