Chapter 2. Cost Terminology and Cost Behaviors E2-4 (cross-number problem) Supply the missing data, indicated by a "_ " in the following cases. Each case is independent. Case 1 Case 2 Case 3 Case 4 Direct materials $4,500 $6,000 $5,000 $3,000 + Direct labor 3,000 7,000 4,000 + Manufacturing overhead 5,000 4,000 9,000 = Total manufacturing cost 18,500 20,000 + Beginning WIP 2,500 3,000 -- Ending WIP 1,000 4,000 3,000 = Cost of goods manufactured 18,000 14,000 Sales 30,000 21,000 36,000 40,000 + Beg. finished goods inventory 1,000 2,500 2,000 + Cost of goods manufactured 17,500 = Goods available for sale -- Ending finished goods 1,500 4,000 3,500 inventory = Cost of goods sold 17,000 18,500 + Gross margin 13,000 17,500 -- - Operating expenses 3,500 = Net Income 4,000 5,000 9,000 ** Recall that gross margin = Sales - COGS