Luke's Lubricants begins operations on January 1. The following operating data is available for January for the lubricant it produces:

	gallons
Initial inventory	0
started in january	900,000
Ending inventory of work in process (80% complete)	100,000

The costs incurred in January are as follows:

Materials	ps	564.000
Manpower of labour		145,200
Manufacturing overhead		294.000

All Luke's production is sold as produced (there are no finished goods inventories).

Required:

a. Calculate the cost of goods sold for January.

b. What is the value of work-in-process inventory on January 31?