The work-in-process inventories of ABC Manufacturing, Inc. were completely destroyed by fire on June 1, 2021. Amounts for the following accounts have been established. Accounts payable, Jan. 1, 2021: 117,000 Accounts payable, Jun. 1, 2021: 135,000 Raw materials, Jan. 1, 2021: 15,000 Raw materials, Jun. 1, 2021: 18,000 Work in process, Jan. 1, 2021: 60,000 Finished goods, Jan. 1, 2021: 69,000 Finished goods, Jun. 1, 2021: 87,000 The following additional information was determined: Payments to suppliers for purchases on account: 60,000. Freight on purchases: 3,000. Purchase returns: 7,500. Direct labor: 48,000. Production overhead: 18,000. Sales from January 1 to May 31: 225,000. Sales returns: 45,000. Sales discounts: 15,000. Gross profit rate based on sales: 25%. How much is the work in process destroyed by fire?
The work-in-process inventories of ABC Manufacturing, Inc. were completely destroyed by fire on June 1, 2021. Amounts for the following accounts have been established.
Accounts payable, Jan. 1, 2021: 117,000
Accounts payable, Jun. 1, 2021: 135,000
Raw materials, Jan. 1, 2021: 15,000
Raw materials, Jun. 1, 2021: 18,000
Work in process, Jan. 1, 2021: 60,000
Finished goods, Jan. 1, 2021: 69,000
Finished goods, Jun. 1, 2021: 87,000
The following additional information was determined:
Payments to suppliers for purchases on account: 60,000.
Freight on purchases: 3,000.
Purchase returns: 7,500.
Direct labor: 48,000.
Production
Sales from January 1 to May 31: 225,000.
Sales returns: 45,000.
Sales discounts: 15,000.
Gross profit rate based on sales: 25%.
How much is the work in process destroyed by fire?
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