The following information pertains to Flaxman Manufacturing Company for March 2018. Assume actual overhead equaled applied overhead.

March 1
Inventory balances
Raw materials	$	124,000
Work in process		118,100
Finished goods		77,900
March 31
Inventory balances
Raw materials	$	85,500
Work in process		145,400
Finished goods		81,000
During March
Costs of raw materials purchased	$	119,900
Costs of direct labor		101,700
Costs of manufacturing overhead		62,600
Sales revenues		358,000

Required

1. Prepare a schedule of cost of goods manufactured and sold.

2. Calculate the amount of gross margin on the income statement.