The following account balances at the beginning of January were selected from the general ledger of Fresh Bagel Manufacturing Company:

Additional data:
1) Actual manufacturing overhead for January amounted to $66,100.
2) Total direct labor cost for January was $64,000.
3) The predetermined manufacturing overhead rate is based on direct labor cost. The budget for the year called for $248,000 of direct labor cost and $322,400 of manufacturing overhead costs.
4) The only job unfinished on January 31 was Job No. 151, for which total direct labor charges were $5600 (1600 direct labor hours)and total direct material charges were $14,400.
5) Cost of direct materials placed in production during January totaled $124,000. There were no indirect material requisitions during January.
6) January 31 balance in raw materials inventory was $35,400.
7) Finished goods inventory balance on January 31 was $35,200.
What is the work in process inventory balance on January 31?
A)$7280
B)$69,231
C)$27,280
D)$98,031

Quick Step Company Is Debating the Use of Direct Labor

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