The following data refer to Nani's Fashions for the current year:

Sales Revenues $475,000

Work in process inventory, 31 December15,000

Work in process inventory, 1 January20,000

Selling and administrative expenses75,000

Income tax expense45,000

Purchase of raw materials90,000

Raw materials inventory, 31 December12,500

Raw material inventory. 1 January20,000

Direct labour100,000

Electricity: plant20,000

Depreciation plant and equipment30,000

Finished goods inventory, 31 December25,000

Finished goods inventory, 1 January10,000

Indirect material5,000

Indirect labour7,500

Other manufacturing overhead40,000

Required: a) Prepare the schedule of cost of goods manufactured for Nani's fashion. (3 marks)

b) Prepare the schedule of cost of goods sold for Nani's Fashions and explain the information provided by the schedule of cost of goods sold. (4 marks)

c) Preparean income statement for the current year. (3 marks)