On April 12, after the close of business, Singh & Sons had a devastating fire that destroyed the companys work-in-process and finished-goods inventories. Fortunately, all raw materials escaped damage because materials owned by the firm were stored in another warehouse. The following information is available:

Sales revenue through April 12	$	330,000
Income before taxes through April 12		68,000
Direct labor through April 12		120,000
Cost of goods available for sale, April 12		275,000
Work-in-process inventory, January 1		21,000
Finished-goods inventory, January 1		37,000
Gross margin		30	% of sales

The firms accountants determined that the cost of direct materials used normally averages 25 percent of prime costs (i.e., direct material + direct labor). In addition, manufacturing overhead is 50 percent of the firms total production costs. Required: Singh & Sons is in the process of negotiating a settlement with its insurance company. Prepare an estimate of the cost of work-in-process and finished-goods inventories that were destroyed by the fire.

a. cost of finished-goods inventory

b. cost of work-in process inventory