2 Custom Cabinetry has one job in process (Job 120) os of June 30; at that time, its job cost sheet reports direct materials of $7.900. direct labor of $4,000, and applied overhead of $3,600 Custom Cabinetry applies overhead at the rate of 90% of direct labor cost During July, Job 120 is sold (on account) for $27,500 Job 121 is started and completed, ond Job 122 is started and still in process at the end of the month. Custom Cabinetry incurs the following costs during July 25 Juty Product cirsts Direct aaterials mirect laton 168 120 11,100 3,900 30 121 122 Total $7,500 $11,000 5,000 2,000 11,700 Overhead applied 02:14:00 1. Prepare journal entries for the following in July a. Duect materials used in production. b. Direct labor used in production COverhead applied. d. The sale of Job 120 e. Cost of goods sold for Job 120 2. Compute the July 31 balances of the Work in Process Inventory and the Finished Goods Inventory accounts (Assume there are no jobs in Finished Goods Inventory as of June 30.) Complete this question by entering your answers in the tabs below.