Chapter3 P2: Gordon Cabinets Company produces custom cabinetry for homes, which is sold nationwide. The company adds overhead costs to cabinetry projects at the rate of $7.75 per direct labor hour. The company accumulates overhead costs in a separate manufacturing ove account and uses to assign overhead. The following data provide details of the company's activity and balances during the last half of the year. Direct materials inventory Work in process inventory Finished goods inventory 7/1/2018 12/31/2018 60,250 $61,750 43,500 23,000 44,000 24,150 Production data for six months 155,000 Direct materials purchased Direct labor costs ($15/hr) 270,000 (a) Determine the cost of direct materials used during this period. (b) Determine the cost of goods manufactured during this period. (c) At the end of December, Gordon Cabinets Company's the actual overhead costs are $145,000. If this company adjusts over-or underapplied overhead to cost of goods sold (COGS) at the end of the year, determine the adjusted COGS