Exercise 15-14

The following information is available for Aikman Company.

January 1, 2017 2017 December 31, 2017

Raw materials inventory $23,680 $31,650

Work in process inventory 16,120 18,470

Finished goods inventory 29,410 21,410

Materials purchased $153,280

Direct labor 221,550

Manufacturing overhead 184,550

Sales revenue 903,450

Compute costs of goods manufactured. Create an income statement through gross profit. Show the presentation of the ending inventories on the December 31, 2017 balance sheet.