The following information is for Shasta, Inc., for the year ended December 31, 2016.

Of the total raw materials placed in production for the year, $18,000 was for indirect material.

Required:

a. Prepare a schedule of raw materials placed in production for the year ended December 31, 2016. 

b. Prepare a schedule of cost of goods manufactured for the year ended December 31, 2016. 

c. Prepare a schedule of cost of goods sold for the year ended December 31, 2016. 

d. Prepare an income statement for the year ending December 31, 2016.

Raw materials inventory beginning balance Raw materials inventory ending balance Work-in-process inventory beginning balance Work-in-process inventory ending balance Finished goods inventory beginning balance Finished goods inventory ending balance Raw material purchases Direct labor used in production Manufacturing overhead $ 15,000 $ 12,000 $ 825,000 $ 900,000 $ 615,000 $ 525,000 $ 150,000 $ 187,500 $ 945,000 $ 135,000 Selling costs $ 360,000 General and administrative Sales revenue $1,897,500