1. Beginning Inventories Direct Materials $55,000 Work-in-Process $90,000 Finished Goods $25,000 2. May results Net sales $1,275,000 Direct materials purchased $550,000 Direct labor cost $400,000 3. Key ratios for this plant: Gross Profit 20% of net sales Prime costs 60% of total manufacturing costs Ending WIP 10% of total manufacturing costs Manufacturing Overhead 60% of conversion cost Required: Estimate the cost of the inventory lost (RM, WIP & FG) by reconstructing the Cost of Goods Manufactured and Sold report.

On May 30, a manufacturing facility of a medium-sized company was severely damaged by an earthquake followed by a fire. As a direct result, the company's direct materials, work-in-process and finished goods inventories were destroyed. Records recovered from the disaster revealed the following incomplete accounting information: 1. 2 3. Key ratios for this plant: Required: Estimate the cost of the inventory lost (RM, WIP \& FG) by reconstructing the Cost of Goods Manufactured and Sold report