Stanley Builders, Inc. designs decks, gazebos, and stone patios for residential homes. The following was provided for the year ended October 31, 2020: Direct labor $800,000 Direct material purchases 80,000 Administrative expenses 155,000 Overhead 95,000 Selling expenses 322,000 Beginning direct materials inventory 43,000 Beginning designs in process 21,000 Ending direct materials inventory 18,000 Ending designs in process 45,000 The average design fee is $ 1,200. There were 3,500 designs processed during the year. Required: a. Prepare a statement of cost of services sold. b. Prepare an income statement