Dec. 31 Jan. 1 Raw Materials Inventory Work in Process Finished Goods $530 $540 $450 $540 $290 $270 $1.250 Direct materials used Total Manufacturing costs charged to production of which $900 was manufacturing overhead $4.540 Selling and administrative expenses Sales revenue $3.200 $8.900 Required: (1) What is the cost of materials purchased? (2) What is the cost of goods sold? (3) What is gross profit? (4) What is net profit