The following data were taken from the records of Beartooth Company for January 2006:
Administrative expenses ................... $ 55,000
Cost of goods sold (at standard) ................ 812,500
Direct materials price variance—favorable ............ 1,500
Direct materials quantity variance—unfavorable ......... 2,750
Direct labor rate variance—favorable .............. 1,000
Direct labor time variance—unfavorable ............ 3,750
Variable factory overhead controllable variance—favorable .... 4,750
Fixed factory overhead volume variance—unfavorable ...... 10,000
Interest expense ...................... 2,375
Sales ........................... 1,200,000
Selling expenses ..................... 114,375
Prepare an income statement for presentation to management.