Woodworking Ltd. suffered a fire recently in its manufacturing facility. As a result, the entire plant and its contents were all destroyed. Fortunately, the accounting department is in a separate office building and, thus, the accounting records are intact. At the end of January, the company reported the following: Sales revenues Prime costs for the month of January Conversion costs for the month of January Direct materials (DM) January 1 Direct materials (DM) purchased in January 1 Direct manufacturing labour costs Manufacturing overhead costs Work in process, January 1 Finished goods, January 1 Costs of goods manufactured Gross margin percentage (based on sales revenues) $ 900,000 $529,200 $ 540,000 $ 28,800 $ 288,000 $ 324,000 40% of conversion costs $ 115,200 $ 54,000 $ 810,000 20% Required: (A) What is the gross margin on January 31"? (B) What is the cost of goods sold on January 31"? (C) What is the cost of finished goods inventory on January 31st? (D) What is the cost of work-in-process inventory on January 31"? (E) What is the cost of direct materials inventory on January 31"? 2 (F) What are product costs and period costs? In your answer, ensure that you give examples of each type of cost. Why is it important for a company to distinguish between these two types of costs? That is, what are the possibly consequences for misclassifying product costs and period costs