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.

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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