Use the following information to compute the cost of direct materials used for the current year. Assume the raw materials inventory account is used only for direct materials. (Assume no indirect materials.) January 1 December 31 Inventories Raw materials inventory $ 7,300 $ 11,500 Work in process 14,200 11,600 inventory Finished goods 11,000 7,100 inventory Activity during current year Materials purchased $125,500 Direct labor 103,600 Factory overhead 41,100 Cost of Direct Material Used is Computed as