SPECIAL INSTRUCTIONS: For E2-22, you DO NOT have to create a COGM "report" or a "formal" income statement. What I want you to do for that exercise is complete the computations in the same way that was done in the Lecture Video titled "Chapter 2: EXERCISE - Calculating COGM and COGS." CHECK FIGURES: E2-9 Req. 4 Cost of Goods Manufactured = $755,925 E2-22 Req. 1 Cost of Goods Manufactured $206,000 Req. 2 Operating Income $184,000 E2-9 Calculating Cost of Jobs LO 2-4, 2-6 Manufacturing costs for Davenport Company during 2018 were as follows: Beginning Finished Goods, 1/1/18 $ 24,100 Beginning Raw Materials, 1/1/18 35,500 Beginning Work in Process, 1/1/18 110,300 Direct Labor for 2018 $275,300 Ending Finished Goods, 12/31/18 22,400 40,250 Ending Raw Materials, 12/31/18 Ending Work in Process, 12/31/18 120,600 Material Purchases for 2018 (including $15,000 of indirect material) 304,200 Required: 1. Compute direct material used. 2. Compute applied overhead if the company applies overhead at a rate of 0.75 (75 percent) of direct labor cost. 3. Compute total manufacturing cost. 4. Compute cost of goods manufactured. 5. Compute cost of goods sold. Page 92 E2-22 Calculating Cost of Goods Manufactured and Sold and Preparing an Income Statement @LO 2-6 StorSmart Company makes plastic organizing bins. The company has the following inventory balances at the beginning and end of March: Beginning Inventory Ending Inventory Raw materials $33,000 $22,000 Work in process 25,000 44,000 Finished goods 60,000 58,000 Additional information for the month of March follows: $ 84,000 Raw materials purchases Indirect materials used 10,000 Direct labor 55,000 Manufacturing overhead applied 85,000 Selling, general, and administrative expenses 58,000 Sales revenue 450,000 Required: Based on this information, prepare the following for StorSmart: 1. A costof goods manufactured report. 2. An income statement for the month of March