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Fanning Corporation began fiscal Year 2 with the following balances in its inventory accounts. Raw Materials Work in Process Pinished Goods $54,200 83,800 26,700 During the accounting period, Fanning purchased $238,100 of raw materials and issued $248,900 of materials to the production department. Direct labor costs for the period amounted to $323,100, and manufacturing overhead of $47,200 was applied to work in Process Inventory. Assume that there was no over- or underapplied overhead. Goods costing $612,000 to produce were completed and transferred to Finished Goods Inventory. Goods costing $600,300 were sold for $800,800 during the period. Selling and administrative expenses amounted to $71,700. Required a. Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet. b. Prepare a schedule of cost of goods manufactured and sold and an income statement. Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Req A Req B CGM Sched Reg B Inc Stmt Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet Ending Balance Raw materials Work in process Finished goods ReqA ReqB CGM Sched > Req A Req B CGM Sched Req B Inc Stmt Prepare a schedule of cost of goods manufactured and sold. FANNING CORPORATION Schedule of cost of goods manufactured and sold For the year ended Year 2 Raw materials available Raw materials used Total manufacturing costs Total work in process inventory Cost of goods manufactured Goods available for sale Cost of goods sold Req A Req B CGM Sched Req B Inc Stmt Prepare an income statement. FANNING CORPORATION Income Statement For the year ended Year 2

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