Required information Exercise 3-28 Cost Relationships; Normal Costing System (LO 3-2, 3-4, 3-6) [The following information applies to the questions displayed below.) McAllister, Inc., employs a normal costing system. The following information pertains to the year just ended. Total manufacturing costs were $1,370,000. Cost of goods manufactured was $1,338,500. Applied manufacturing overhead was 20 percent of total manufacturing costs. Manufacturing overhead was applied to production at a rate of 80 percent of direct-labor cost. Work-in-process inventory on January 1 was 75 percent of work-in-process inventory on December 31. Exercise 3-28 Part 1 Required: Compute the following to support the preparation of financial statements. 1. Compute the total direct-labor cost for the year. Direct-labor cost Exercise 3-28 Part 2 2. Calculate the total cost of direct material used during the year. Direct-material cost Exercise 3-28 Part 3 3. Compute the value of the company's work-in-process inventory on December 31. Work-in-process inventory on December 31