The following information is available for The NewQuest Corporation for 2016:

Inventories	January 1	December 31
Materials	$78,950	$95,200
Work in process	110,000	95,000
Finished goods	114,750	109,800

	December 31
Advertising expense	$ 68,300
Depreciation expense-office equipment	21,500
Depreciation expense-factory equipment	14,460
Direct labor	186,700
Heat, light, and power-factory	5,800
Indirect labor	24,260
Materials purchased	121,600
Office salaries expense	74,850
Property taxes-factory	4,035
Property taxes-office building	13,250
Rent expense-factory	6,025
Sales	863,500
Sales salaries expense	135,000
Supplies-factory	3,500
Miscellaneous costs-factory	5,280

Required:

A.

Prepare the 2016 statement of cost of goods manufactured.*

B.

Prepare the 2016 income statement.*

	Amount Descriptions
	Advertising expense
	Cost of direct materials used
	Cost of finished goods available for sale
	Cost of goods manufactured
	Cost of goods sold
	Cost of materials available for use
	Depreciation expense-factory equipment
	Depreciation expense-office equipment
	Direct labor
	Finished goods inventory, December 31, 2016
	Finished goods inventory, January 1, 2016
	Gross profit
	Heat, light, and power-factory
	Indirect labor
	Materials inventory, December 31, 2016
	Materials inventory, January 1, 2016
	Miscellaneous cost-factory
	Net income
	Office salaries expense
	Property taxes-factory
	Property taxes-office building
	Purchases
	Rent expense-factory
	Sales
	Sales salaries expense
	Supplies-factory
	Total manufacturing costs incurred
	Total operating expenses
	Work in process inventory, December 31, 2016
	Work in process inventory, January 1, 2016