LEARNING ACTIVITY 2 1. LUTKA Company had the following activities during 2018: Direct materials: Beginning inventory Purchases $20,000 130,500 Ending inventory 41,000 Direct manufacturing labour 52,500 Manufacturing overhead 44,000 Beginning work-in-process inventory 2,700 Ending work-in-process inventory 3,100 Beginning finished goods inventory 19,000 Ending finished goods inventory 26,200 Required: a. What is the cost of direct materials used during 2018? b. What is cost of goods manufactured for 2018? C What is cost of goods sold for 2018? Assume that LUTKA uses a two-part classification system for prime and conversion costs. d. e. What amount of prime costs was added to production during 2018? What amount of conversion costs was added to production during 2018?