Information About Mobile Enterprises for the Year Ending December 31

Information about Mobile Enterprises for the year ending December 31, 2018, is as follows:
$\begin{array}{lr}\text { Sales } & \$ 300,000 \\\text { Selling and administrative expenses } & 18,000 \\\text { Net income } & 8,000\\\\\text { Beginning inventories: }\\\text { Direct materials } & 20,000 \\\text { Work in process } & 18,000 \\\text { Finished goods } & 62,000\end{array}$
Ending direct materials is 20 percent larger than beginning direct materials. Ending work in process is half of the beginning work in process. Ending finished goods increased by $8,000 during the year. Prime costs and conversion costs are 70 percent and 60 percent of total manufacturing costs added, respectively. Materials purchases are $113,200.
Required:
a.Prepare a statement of cost of goods manufactured.
b.Prepare an income statement.Note: Find the numbers for the income statement first.

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