Which one of the following statements on the remuneration of the factors of production is true? [1] The remuneration for capital is profit, as the business aims to earn a profit on its financial investments.
[2] The remuneration for labour is rent, as workers are able to pay their rent with the money they earn.
[3] The remuneration for entrepreneurship is a salary, as entrepreneurs are also rewarded for their efforts.
[4] The remuneration for natural resources is rent, as natural resources consist of all gifts of nature.

The following cost and inventory data are taken from the accounting records of mason company for the year just completed: costs incurred: direct labor cost $ 90,000 purchases of raw materials $ 134,000 manufacturing overhead $ 205,000 advertising expense $ 45,000 sales salaries $ 101,000 depreciation, office equipment $ 225,000 beginning of the year end of the year inventories: raw materials $ 8,100 $ 10,300 work in process $ 5,900 $ 21,000 finished goods $ 77,000 $ 25,800 required: 1. prepare a schedule of cost of goods manufactured. 2. prepare the cost of goods sold section of mason company’s income statement for the year.