Best Shoe Company makes loafers. During the most recent year, Best incurred total manufacturing costs of $25,600,000. Of this amount, $2,700,000 was direct materials used and $18,800,000 was direct labor. Beginning balances for the yea were Direct Materials, $700,000; Work-in-Process Inventory, $1,100,000; and Finished Goods Inventory, $800,000. At the end of the year, balances were Direct Materials, $500,000; Work-in-Process Inventory, S1,300,000; and Finished Goods Inventory, $1,180,000. Read the requirements. Requirement 1. Analyze the inventory accounts to determine the cost of direct materials purchased during the year. Direct Materials X Requirements Direct Materials Used Beginning Direct Materials Ending Direct Materials 2,700,000 700.000 800.000 Analyze the inventory accounts to determine: 1. Cost of direct materials purchased during the year, 2. Cost of goods manufactured for the year. 3. Cost of goods sold for the year. Purchases Requirement 2. Analyze the inventory accounts to determine the cost of goods manufactured for the year. 1,300.000 Work-in-Process Beginning Work-in-Process Inventory Direct Materials Used Direct Labor Print Done 2,700,000 18,800.000 Manufacturing Overhead Total Manufacturing Costs Incurred during the Year Total Manufacturing Costs to Account For Ending Work-in-Process Inventory