Perfect Fit Shoe Company makes loafers. During the most recent year, Perfect Fit incurred total manufacturing costs of $22,000,000 of this amount, $3,000,000 was direct materials used and $14,800,000 was direct labor. Beginning balances for the year were Direct Materials, $900,000, Work-in-Process Inventory, $1,100,000; and Finished Goods Inventory, $1,000,000. At the end of the year, balances were Direct Materials, $500,000; Work-in-Process Inventory, $2,000,000, and Finished Goods Inventory, $1,130,000 Read the requirements. 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 THE Beginning Work-in-Process Inventory Direct Materials Used Direct labor 3,000,000 900,000 500,000 2,600,000 Requirement 2. Analyze the inventory accounts to determine the cost of goods manufactured for the year. Work-in-Process 3,000,000 14,800,000 1,100,000

Perfect Fit Shoe Company makes loafers. During the most recent year, Perfect Fit incurred total manufacturing cost of $22,000,000. Of this amount, $3,000,000 was direct materials used and $14,800,000 was direct labor. Beginning balances for the year were Direct Materials, $900,000, Work-in-Process Inventory, $1,100,000; and Finished Goods Inventory, $1,000,000 At the end of the year, balances were Direct Materials, $500,000; Work-in-Process Inventory, $2,000,000; and Finished Goods Inventory, $1,130,000 Read the requirements Requirement 1. Analyze the inventory accounts to determine the cost of direct materials purchased during the year. Requirement 2 . Analyze the inventory accounts to determine the cost of goods manufactured for the ypar