Happy Feet Shoe Company makes loafers. During the most recent year, Happy Feet incurred total manufacturing costs of $23,300,000. Of this amount, $2,500,000 was direct materials used and $16,800,000 was direct labor. Beginning balances for the year were Direct Materials, $900,000; Work-in-Process Inventory, $1,300,000 and Finished Goods Inventory, $800,000. At the end of the year, balances were Direct Materials, $600,000; Work-in-Process Inventory, $1,400,000 and Finished Goods Inventory, $1,120,000.

Requirement 1. Analyze the inventory accounts to determine the cost of direct materials purchased during the year.

Direct Materials
Direct Materials Used
Beginning Direct Materials
Ending Direct Materials
Purchases

Requirement 2. Analyze the inventory accounts to determine the cost of goods manufactured for the year.

Work-in-Process
Beginning Work-in-Process Inventory
Direct Materials Used
Direct Labor
Manufacturing Overhead
Total Manufacturing Costs Incurred during the Year
Total Manufacturing Costs to Account For
Ending Work-in-Process Inventory
Cost of Goods Manufactured

Requirement 3. Analyze the inventory accounts to determine the cost of goods sold for the year.

Finished Goods
Beginning Finished Goods Inventory
Cost of Goods Manufactured
Cost of Goods Available for Sale
Ending Finished Goods Inventory
Cost of Goods Sold