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 $ 656,000 $ 81,000 $ 138,000 $ 103,000 $ 45,000 $ 224,000 $ 200,000 Inventories Raw materials Work in process Beginning Ending $ 8,700 $ 11,000 $ 6,000 $ 20,900 $ 75,000 $ 25,500 Finished goods 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. 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 Direct materials: Beginning raw materials inventory Add: Purchases of raw materials Total raw materials available Less: Ending raw materials inventory Direct materials used in production Total manufacturing costs added to production Total manufacturing costs to account for Cost of goods manufactured $ 8,700 138,000 146,700 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 Prepare an income statement. Mason Company Income Statement Selling and administrative expenses: 0 0 $ 0