The following information pertains to Yuji Corporation:

Costs incurred during the year 2014 were as follows:
Raw material purchased $116,000
Wages to factory workers 55,000
Salary to factory supervisors 25,000
Salary to selling and administrative staff 40,000
Depreciation on factory building and equipment 10,000
Depreciation on office building 12,000
Utilities for factory building 5,000
Utilities for office building 7,500

Required:
Sales revenue during 2014 was $300,000. The income tax rate is 40%. Compute the following:
1. Cost of raw materials used.
2. Cost of goods manufactured/completed.
3. Cost of goods sold.
4. Gross margin.
5. Netincome.

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January 1,2014 December 31,2014 Raw materials inventory Work-in-process inventory Finished goods inventory 34,000 126,000 76,000 38,000 145,000 68,000