Statement of Cost of Goods Manufactured and Income Statement for a Manufacturing Company The following information is available for Shanika Company for 2016: Inventories Materials Work in process Finished goods January 1 December 31 $215,570 $263,000 388,030 357,680 372,940 365,570 $178,580 25,250 33,930 405,020 13,410 Advertising expense Depreciation expense-office equipment Depreciation expense-factory equipment Direct labor Heat, light, and power-factory Indirect labor Materials purchased Office salaries expense Property taxes-factory Property taxes-headquarters building Rent expense-factory Sales Sales salaries expense Supplies-factory Miscellaneous costs-factory 47,340 397,130 138,600 11,050 22,880 18,670 1,859,410 228,280 9,210 5,790 Required: 1. Prepare the 2016 statement of cost of goods manufactured. Shanika Company 1. Prepare the 20Y6 statement of cost of goods manufactured. Shanika Company Statement of Cost of Goods Manufactured For the Year Ended December 31, 2016 Work in process inventory, January 1, 2016 Direct materials: Materials inventory, January 1, 2016 Purchases Cost of materials available for use Materials inventory, December 31, 2016 Cost of direct materials used in production Direct labor v Factory overhead: Indirect labor Depreciation expense-factory equipment Heat, light, and power-factory Property taxes-factory Rent expense-factory Supplies-factory Miscellaneous costs-factory Total factory overhead Total manufacturing costs incurred in 2046 Total manufacturing costs Work in process inventory, December 31, 2016 Cost of goods manufactured Cost of goods manufactured Feedback Check My Work 2. Prepare the 2016 income statement. Shanika Company Income Statement For the Year Ended December 31, 20Y6 Sales Cost of good sold: Finished goods inventory, January 1, 2016 Cost of goods manufactured Cost of finished goods available for sale Finished goods inventory, December 31, 2016 Cost of goods sold Gross profit Operating expenses: Administrative expenses: Office salaries expense Depreciation expense-office equipment Property taxes-headquarters building QUI Selling expenses: Advertising expense Sales salaries expense Finished goods inventory, December 31, 2016 Cost of goods sold Gross profit Operating expenses: Administrative expenses: Office salaries expense Depreciation expense-office equipment Property taxes-headquarters building |00|000 Selling expenses: Advertising expense Sales salaries expense Total operating expenses Net income