The following data from the just completed year are taken from the accounting records of Mason Company: Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs $ 650,000 $ 81,000 $ 130,000 $ 109,000 $ 48,000 $ 224,000 $ 204,000 Inventories Raw materials Work in process Finished goods Beginning $ 8,200 $ 5,700 $ 76,000 Ending $ 10, 100 $ 20,900 $ 25,600 Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement. Required 1 Required 2 Required 3 Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. Mason Company Schedule of Cost of Goods Manufactured $ 5,700 Beginning work in process inventory Direct materials: $ 8,200 Beginning raw materials inventory Add: Purchases of raw materials 130,000 Total raw materials available 138,200 10,100 Less: Ending raw materials inventory Direct materials used in production Manufacturing overhead $ 138,000 224,000 Direct labor 81,000 Administrative expense 420,000 X 863,000 868,700 Total manufacturing costs added to production Total manufacturing costs to account for Less: Ending work in process inventory Cost of goods manufactured 20,900 $ 415,000 X Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Mason Company Schedule of Cost of Goods Sold $ 76,000 86,900 X 365,000 Beginning finished goods inventory Add: Cost of goods manufactured Cost of goods available for sale Less: Ending finished goods inventory Unadjusted cost of goods sold Add: Underapplied overhead Adjusted cost of goods sold 25,600 428,000 X $ 428,000 X X Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare an income statement. Mason Company Income Statement Sales $ 650,000 428,000 222,000 Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Selling expenses Administrative expense Net operating income 109,000 48,000 157,000 65,000 $