Sales Inventories at 1 July 2021 Raw materials Work in process Finished goods Division 1 $ 4,625,000 300,000 175,000 250,000 Inventories at 30 June 2022 Raw materials 400,000 Work in process Finished goods 150,000 150,000 Direct material used 475,000 Purchases of raw materials 575,000 Direct labour 1,125,000 Actual manufacturing overhead 2,238,750 Selling and administrative 525,000 expenses Total manufacturing costs 3,850,000 Cost of goods manufactured 3,875,000 Cost of goods available for sale 4,125,000 Cost of goods sold 3,963,750 Gross profit 661,250 Net profit 136,250