Finding unknown balances. An auditor for the Internal Revenue Service is trying to reconstruct some partially destroyed records of two taxpayers. For each of the cases in the accompanying list, find the unknowns designated by capital letters.

Case 1 Case 2

(in thousands)

Accounts receivable, 12/31 $6,000 $2,100 Cost of goods sold Accounts payable, 1/1 Accounts payable, 12/31 Finished goods inventory, 12/31 Gross margin Work in process. 1/1 Work in process, 12/31 Finished goods inventory, 1/1 Direct materials used Direct manufacturing labor Manufacturing overhead Purchases of direct materials Sales Accounts receivable, 1/1