Sage Hill Company is a manufacturer of smartphones. Its controller resigned in October 2022. An inexperienced assistant accountant has prepared the following income statement for the month of October 2022. Sage Hill Company Income Statement For the Month Ended October 31, 2022 Sales revenue $686,400 Less: Operating expenses Raw materials purchases $232,320 Direct labor cost 167,200 79.200 66,000 Advertising expense Selling and administrative salaries Rent on factory facilities Depreciation on sales equipment Depreciation on factory equipment Indirect labor cost 52,800 39,600 27.280 24,640 Utilities expense 10.560 Insurance expense 7,040 706,640 Net loss $120.240) Prior to October 2022, the company had been profitable every month. The company's president is concerned about the accuracy of the income statement. As her friend, you have been asked to review the income statement and make necessary corrections. After examining other manufacturing cost data, you have acquired additional information as follows. 1. Inventory balances at the beginning and end of October were: October 1 $15,840 October 31 $25,520 Raw materials Work in process Finished goods 17,600 12,320 26,400 44,000 2. Only 75% of the utilities expense and 60% of the insurance expense apply to factory operations. The remaining amounts should be charged to selling and administrative activities Prepare a schedule of cost of goods manufactured for October 2022. (Assume that all raw materials used were direct materials.) SAGE HILL COMPANY Cost of Goods Manufactured Schedule Cost of Goods Manufactured Depreciation on Factory Equipment Direct Labor Direct Materials Direct Materials Used Factory Facility Rent Factory Insurance Factory Utilities Indirect Labor Manufacturing Overhead Raw Materials Inventory, October 1 Raw Materials Inventory, October 31 Raw Materials Purchases Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Total Raw Materials Available for Use Cost of Goods Manufactured Depreciation on Factory Equipment Direct Labor Direct Materials Direct Materials Used Factory Facility Rent Factory Insurance Factory Utilities Indirect Labor Manufacturing Overhead Raw Materials Inventory, October 1 Raw Materials Inventory, October 31 Raw Materials Purchases Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Total Raw Materials Available for Use Work in Process, October 1 Work in Process, October 31 Finished Goods Inventory, October 1 Finished Goods Inventory, October 31