Alex Company had the following inventories at the beginning and end of the month of January: January 1 January 31 Finished goods $125,000 $117,000 Work-in-process 235,000 251,000 Direct materials 134,000 124,000 The following additional manufacturing data were available for the month of January: Direct materials purchased $189,000 Purchase returns and allowances 1,000 Transportation-in 3,000 Direct labor 300,000 Actual factory overhead 175,000 Alex Company applies factory overhead at a rate of 60% of direct labor cost, and any overapplied or underapplied factory overhead is deferred until the end of the year, December 31. Alex Company's cost of goods manufactured for January was: Top of Form Alex Company applies factory overhead at a rate of 60% of direct labor cost, and any overapplied or underapplied factory overhead is deferred until the end of the year, December 31. Alex Company's cost of goods sold for January was: a. $691,000 b. $673,000 c. $697,000 d. $681,000