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Homer Inc. Had the following activities during 2012:DIRECT MATERIALS:Beginning inventory ............. $ 20,000Purchases ................ 61,600Ending inventory ............. 10,400Direct manufacturing labor ......... 16,000Manufacturing overhead .......... 12,000Selling and administrative expenses ...... 10,000Beginning work-in-process inventory ....... 800Ending work-in-process inventory ...... 4,000Beginning finished goods inventory ...... 24,000Ending finished goods inventory ........ 16,000Units produced .............. 100Required:
A. What is the cost of direct materials used during 2012?B. What is cost of goods manufactured for 2012?C. What is cost of goods sold for 2012?D. What amount of prime costs was added to production during 2012?E. What amount of conversion costs was added to production during 2012?
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