Problem 2-45

Determine the missing amounts in each of the following independent cases. I need to show my work to the missing answers.

	Case A	Case B	Case C
Sales	?	?	$240,000
Beginning inventory, raw material	?	$60,000	$7,500
Ending inventory, raw material	$180,000	?	$15,00
Purchases of raw material	$200,000	$255,000	?
Direct material used	$140,000	$285,000	?
Direct Labor	?	300,000	62,500
Manufacturing overhead	$500,000	?	$80,000
Total manufacturing costs	$1,040,000	$1,035,000	$170,000
Beginning inventory, work in process	$70,000	$60,000	?
Ending inventory, work in process	?	$105,000	$2,500
Cost of goods manufactured	$1,050,000	?	$175,000
Beginning inventory, finished goods	$100,000	$120,000	?
Cost of goods available for sale	?	?	$185,000
Ending inventory, finished goods	?	?	$12,500
Cost of goods sold	$1,090,000	$990,000	?
Gross margin	510,000	510,000	?
Selling and administrative expenses	?	225,000	?
Income before taxes	300,000	?	$45,000
Income tax expense	$80,000	$135,000	?
Net income	?	?	$ 27,500