Question 1 (15 marks) Part A Sim Lim Company has the following closing balances for the...

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Question 1 (15 marks) Part A Sim Lim Company has the following closing balances for the year ended December 30, 2020. Direct materials $15,000 Dr Work-in-Process $34,500 Dr Finished Goods $49,500 Dr Cost of Goods Sold $74,500 Dr Additional information is as follows: Cost of materials purchased during 2020 $41,000 Cost of direct materials used in production during 2020 $47,000 Cost of direct labour used in production during 2020 $40,000 Cost of goods completed during 2020 $102,000 Factory overhead allocated to production during 2020 $48,000 Required: 1. Compute the opening balance of Work-in-Process. (2 marks) 2. Compute the opening balance of Finished Goods. (2 marks) 3. Discuss what you can observe about the flow of costs at Sim Lim Company. (4 marks) Question 1 (15 marks) Part A Sim Lim Company has the following closing balances for the year ended December 30, 2020. Direct materials $15,000 Dr Work-in-Process $34,500 Dr Finished Goods $49,500 Dr Cost of Goods Sold $74,500 Dr Additional information is as follows: Cost of materials purchased during 2020 $41,000 Cost of direct materials used in production during 2020 $47,000 Cost of direct labour used in production during 2020 $40,000 Cost of goods completed during 2020 $102,000 Factory overhead allocated to production during 2020 $48,000 Required: 1. Compute the opening balance of Work-in-Process. (2 marks) 2. Compute the opening balance of Finished Goods. (2 marks) 3. Discuss what you can observe about the flow of costs at Sim Lim Company. (4 marks)