CGM; CGS Irresistible Art produces collectible pieces of art. The company's Raw Material Inventory account includes the costs of both direct and indirect materials. Account balances for the company at the beginning and end of July follow: Raw Material Inventory Work in Process Inventory Finished Goods Inventory July 1 July 31 $102,520 $76,560 161,040 132,000 79,200 115,280 During the month, the company purchased $721,600 of raw material; direct material used during the period amounted to $554,400. Factory payroll costs for July were $866,800, of which 75 percent was related to direct labor. Overhead charges for depreciation, insurance, utilities, and maintenance totaled $660,000 for July.