The following information is available for Aikman Company.

	January 1, 2017	2017	December 31, 2017
Raw materials inventory	$21,000		$30,000
Work in process inventory	13,500		17,200
Finished goods inventory	27,000		21,000
Materials purchased		$150,000
Direct labor		220,000
Manufacturing overhead		180,000
Sales revenue		910,000

Instructions

(a) Compute cost of goods manufactured.

(b) Prepare an income statement through gross profit.

(c) Show the presentation of the ending inventories on the December 31, 2017, balance sheet.

(d) How would the income statement and balance sheet of a merchandising company be different from Aikman's financial statements?