Shamrock 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. Shamrock Company Income Statement For the Month Ended October 31, 2022 Sales revenue $702,000 Less: Operating expenses Raw materials purchases $237,600 Direct labor cost 171,000 Advertising expense 81,000 Selling and administrative salaries 67,500 Rent on factory facilities 54,000 Depreciation on sales equipment 40,500 Depreciation on factory equipment 27,900 Indirect labor cost 25,200 Utilities expense 10,800 Insurance expense 7,200 722,700 Net loss $(20,700) 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 October 31 Raw materials $16,200 $26,100 Work in process 18,000 12,600 Finished goods 27,000 45,000 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. Work In Process, October 1 Direct Materials SHAMROCK COMPANY Cost of Goods Manufactured Schedule For the Month Ended October 31, 2022 Raw Materials Inventory, October 1 $ 16200 Raw Materials Purchases 237600 Total Raw Materials Avallable for Use 253800 Less Raw Materials Inventory, October 31 26100 Direct Materials Used Direct Labor Manufacturing Overhead Factory Utilities 10800 Depreciation on Factory Equipment 27900 Indirect Labor Factory Facility Rent Factory Insurance Total Manufacturing Overhead Total Manufacturing Costs Total Cost of Work In Process Less Work In Process, October 31 Cost of Goods Manufactured 25200 54000 7200 $ 227700 171000 193700 Prepare a schedule of cost of goods manufactured for October 2022. (Assume that all raw materials used were direct materials.) SHAMROCK COMPANY Cost of Goods Manufactured Schedule For the Month Ended October 31, 2022 Use $ 16200 237600 253800 ventory, October 31 26100 10800 nt 27900 October 31 25200 54000 7200 $ 227700 171000 193700 $ 18000 491600 509600 12600 497000