Statement of Cost of Goods Manufactured and Income Statement for a Manufacturing Company The following information is available for Shanika Company for 20Y6: Inventories December 31 Materials January 1 $461,460 830,630 798,330 $581,440 790,760 Work in process Finished goods 808,200 Advertising expense $394,800 55,820 Depreciation expense-office equipment Depreciation expense-factory equipment Direct labor Heat, light, and power-factory 75,010 895,420 29,650 Indirect labor Materials purchased Office salaries expense 104,660 877,970 306,420 24,420 50,590 41,280 Property taxes-factory Property taxes-headquarters building Rent expense-factory Sales 4,110,780 504,690 Sales salaries expense Supplies-factory 20,350 Miscellaneous costs-factory 12,790 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 Total manufacturing costs incurred Total manufacturing costs Cost of goods manufactured $ 2. Prepare the income statement. 2. Prepare the income statement. Shanika Company Income Statement For the Year Ended December 31, 20Y6 Cost of goods sold: Operating expenses: Administrative expenses: Selling expenses: Total operating expenses