The following balances were extracted from the books of The Elite Manufacturing Company for the vear ended 31st December 2016 273,000 Raw materials purchased Carriage inwards on raw materials Wages-Factory direct Royalty paid on units produced Wages-Factory manager Light & Heat Rent & Rates Repairs to factory machinery Depreciation on Plant & Machinery Sales of finished goods Purchases of finished goods Sales & Marketing Expenses Financial expenses Administration expenses 9,250 52,100 42,600 11,650 10,675 8,650 7,500 15,000 580,000 17,000 33,000 3,675 27,250 Additional Information 1) Inventory valuations were as follows: 1st January 2016 31st December 2016 17,300 15,500 Raw Materials Finished Goods Work in progress 24,500 18,950 4,800 6,150 2) The following amounts are to be allocated to factory costs Light & Heat 60% Rent & Rates 40% 3) A manufacturing profit of 10% is to be added to the cost of goods produced You are required to a) Prepare the Manufacturing Account for the year ended 31st December 2016 (9 marks) b) Prepare the Income Statement for the year ended 31st December 2016