On June 30, 20X1, a tornado damaged Jensen Corporation’s warehouse and factory, completely destroying the work-in-process inventory. Neither the raw materials nor finished goods inventories were damaged. A physical inventory taken after the tornado revealed the following valuations:

Raw materials ...................... $ 87,000
Work-in-process ...................... 0
Finished goods ..................... 151,000
                                                $238,000

The inventory of January 1, 20X1, consisted of the following:

Raw materials ...................... $ 41,000
Work-in-process ................... 128,000
Finished goods ..................... 173,000
                                                $342,000

A review of the books and records disclosed that the gross profit margin historically approximated 28% of sales. The sales total for the first six months of 20X1 was $405,000. Raw material purchases totaled $150,000. Direct labor costs for this period were $112,000, and manufacturing overhead has historically been applied at 50% of direct labor.

Required:

Compute the value of the work-in-process inventory lost at June 30, 20X1. Show supporting computations.