Tonneau Corporation Had the Following Information Available for October 2018

Multiple Choice

Tonneau Corporation had the following information available for October 2018: $\begin{array}{lr}\text { Work in Process, October } 1 & \$ 20,000 \\\text { Materials placed into production, October } & 27,500 \\\text { Direct labor, October } & 37,500\end{array}$
Factory overhead rate is 150 percent of direct labor costs.
Job cost sheets had the following balances:
$$\begin{array} { l r } \mathrm { J } 0 \mathrm { Z } Z 1 & \$ 32,500 \\\mathrm { Job } Z 2 & 55,000 \\\text { Job Z3 } & 35,000 \\\text { Job Z4 } & 18,750\end{array}$$
Jobs Z3 and Z4 were not completed at the end of December.
What is the balance in Work-in-Process for Tonneau at the end of October?

A) $85,000
B) $87,500
C) $56,250
D) $53,750