Conrad, Inc. recently lost a portion of its records in an office fire. The following information was salvaged from the accounting records.

Cost of Goods Sold$65,000

Work-in-Process Inventory, Beginning10,500

Work-in-Process Inventory, Ending9,000

Selling and Administrative Expense15,000

Finished Goods Inventory, Ending15,000

Finished Goods Inventory, Beginning?

Direct Materials Used?

Factory Overhead Applied12,000O

perating Income14,000

Direct Materials Inventory, Beginning11,000

Direct Materials Inventory, Ending6,000

Cost of Goods Manufactured60,000

Direct labor cost incurred during the period amounted to 1.5 times the factory overhead. The CFO of Fisher, Inc. has asked you to recalculate the following accounts and to report to him by the end of the day.

What is the amount of direct materials purchased?

$36,000.

$28,500.

$31,000.

$23,500.