Jordan Company produces women’s clothing. During 2010, the company incurred the following costs:

Factory rent .............$425,000

Direct labor .............. 325,000

Utilities—Factory .......... 35,000

Purchases of direct materials ...... 625,000

Indirect materials ........... 70,000

Indirect labor ............ 80,000

Inventories for the year were as follows:

 

	January 1	December 31
Direct Materials	$30,000	$50,000
Work in process	$60,000	$25,000
Finished goods	$115,000	$95,000

Required

1. Prepare a statement of cost of goods manufactured.

2. Calculate cost of goodssold.