Firm A Firm B Firm C Beginning raw materials inventory $8,500 $54,600 Purchases of raw materials during the year 124,800 293,800 Raw materials available for use 154,700 Ending raw materials inventory 6,000 66,300 Cost of raw materials used 45,000 131,300 Direct labor costs incurred 65,000 413,400 Variable manufacturing overhead applied 44,200 93,600 Fixed manufacturing overhead applied 50,000 78,000 Total manufacturing costs incurred 185,000 Beginning work in process 7,500 9,100 24,700 Ending work in process 12,500 14,300 20,800 Cost of goods manufactured $345,800 Sales $533,000 Beginning finished goods inventory 15,000 79,300 Cost of goods manufactured 345,800 Cost of goods available for sale 393,900 989,300 Ending finished goods inventory 25,000 62,400 Cost of goods sold 354,900 Gross profit 70,000 257,400 Selling, general, and administrative expenses 34,000 Income from operations $41,600 $115,700