Young Fashions Company Produces Children's Clothing $\text { Inventories for the year were: }$

Young Fashions Company produces children's clothing. During the current year, the company incurred the following costs: $\begin{array}{lr}\text { Factory Rent }&\$144,000\\\text { Direct labor used } & 525,000 \\\text { Factory utilities } & 120,000 \\\text { Direct materials purchases } & 850,000 \\\text { Indirect materials } & 106,000 \\\text { Indirect labor } & 90,000\end{array}$
$\text { Inventories for the year were: }$
$\begin{array}{lll}&\text { January } 1&\text { December } 31\\\text { Direct materials }&\$220,000&\$155,000\\\text { Work in process } & 160,000 & 128,000 \\\text { Finished goods } & 320,000 & 310,000\end{array}$ Required:
Prepare a statement of cost of goods manufactured and cost of goods sold.