Statement of Cost of Goods Manufactured and Income Statement for a Manufacturing Company The following information is available for Shanika Company for 2016: Inventories January 1 December 31 Materials $434,680 $534,660 Work in process 782,420 727,140 Finished goods 752,000 743,180 Advertising expense $363,030 Depreciation expense-office equipment 51,330 Depreciation expense-factory equipment 68,970 Direct labor 823,380 Heat, light, and power-factory 27,270 Indirect labor 96,240 Materials purchased 807,340 Office salaries expense 281,770 22,460 Property taxes-factory Property taxes-headquarters building 46,520 Rent expense-factory 37,960 Sales 3,780,050 464,080 Sales salaries expense 18,710 Supplies-factory Miscellaneous costs-factory 11,760 Required: 1. Prepare the statement of cost of goods manufactured. Shanika Company Statement of Cost of Goods Manufactured For the Year Ended December 31, 2016 Direct materials: Factory overhead: Total factory overhead o Total manufacturing costs incurred Total manufacturing costs Cost of goods manufactured $ 2. Prepare the income statement. Shanika Company Income Statement For the Year Ended December 31, 2016 Cost of goods sold: Operating expenses: Administrative expenses: Selling expenses: Total operating expenses $