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 Inventories Beginning Ending $ 658,000 $ 85,000 $ 131,000 $ 101,000 $ 47,000 $ 222,000 $ 208,000 Raw materials $8,500 $ 10,000 Work in process $ 5,100 $ 20,000 Finished goods $ 71,000 $ 25,200 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. Manufacturing overhead cost Direct materns: Mason Company Schedule of Cost of Goods Manufactured Beginning raw materials inventory Add: Purchases of raw materials Total raw materials available Less: Ending raw materials inventory Direct materials used in production Direct labor Manufacturing overhead Manufacturing overhead Total manufacturing costs added to production Total manufacturing costs to account for Less: Ending work in process inventory Cost of goods manufactured 0 Mason Company Schedule of Cost of Goods Sold 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 $ 69 71,000 < Required 1 Required 3 > Prepare an income Mason Company Income Statement Selling and administrative expenses: 6A $ < Required 2 0 0 0 Requ