Understanding the Relationship between Cost Flows, Inventories, and Cost of Goods Sold

Ivano Company has collected cost accounting information for the following subset of items for Years 1 and 2.

Required:

Calculate the values of the missing items.

	Year 1	Year 2
Item:
Direct materials used in production	$	$50,000
Direct materials: Beginning inventory	$10,000	$
Direct materials purchases	45,000	$
Direct materials: Ending inventory	15,000	17,000
Direct labor used in production	$	53,000
Manufacturing overhead costs used in production	80,000	76,000
Work in process: Beginning inventory	17,000	14,000
Work in process: Ending inventory	14,000	19,000
Finished goods: Beginning inventory	8,000	7,000
Finished goods: Ending inventory	7,000	11,000
Cost of goods sold	169,000	$