Selected data concerning the past year's operations of the Burner Corporation are as follows: Selling and administrative $225,000 expenses Direct materials used 397,500 Direct labor 450,000 Inventories Dec. 1 Dec. 31 Direct materials $36,000 $42,000 Work in process 75,000 84,000 Finished goods 69,000 57.000 The cost of direct materials purchased is: $367.500 $397.500 $403,500 $405,000