Forest Components makes aircraft parts. The following transactions occurred in July 1. Purchased $16.890 of materials on account 2 Issued $16.790 in direct materials to the production department 3. Issued $1,300 of supplies from the materials inventory 4 Paid for the materials purchased in transaction (1) using cash. 5. Returned $2,090 of the materials issued to production in (2) to the materials inventory 6. Direct labor employees earned $32.900, which was paid in cash 7. Purchased miscellaneous items for the manufacturing plant for $17.260 on account 8. Recognized depreciation on manufacturing plant of $36.800 9. Applied manufacturing overhead for the month Forest uses normal costing It applies overhead on the basis of direct labor costs using an annual, predetermined rate At the beginning of the year, management estimated that direct labor costs for the year would be $434.800 Estimated overhead for the year was $421756 Forest uses normal costing. It applies overhead on the basis of direct labor costs using an annual, predetermined rate. At the beginning of the year, management estimated that direct labor costs for the year would be $434,800 Estimated overhead for the year was $421756 The following balances appeared in the inventory accounts of Forest Components for July Materials Inventory Work-in-Process Inventory Finished Goods Inventory Cost of Goods Sold Beginning Ending $12,480 10,530 $2,610 7,880 74,500 Required: a. Prepare journal entries to record these transactions. b. Prepare T-accounts to show the flow of costs during the period from Materials Inventory through cost of Goods Sold No Transaction General Journal Debit Credit 1 Materials inventory Accounts payable 16,890 16,890 B 2 Work-in-process-direct materials Materials inventory 16,790 16,790 3 Manufacturing overhead control Materials inventory 1,300 1,300 D 4 Accounts payable Cash 16,890 16,890 E 5 Materials inventory 2,090 F 6 32,900 Work-in-process-direct labor Cash 32.900 G 7 17,260 Manufacturing overhead control Accounts payable 17,260 H 8 36,800 Manufacturing overhead control Accumulated depreciation plant 36,800 1 9 31,913 Work-in-process-overhead Applied manufacturing overhead O 31,913 Required A Required B > Required A Required B Beg bal $ Prepare T-accounts to show the flow of costs during the period from Materials Inventory through cost of Goods Sold. Materials Inventory Work-In-Process Inventory 11,590 Bog, bal 1 16,890 1,3003 2 16,790 2,0905 Transferred to 5. 2,090 16,790 2. 6. 32,900 Finished Goods 9. End, bal 12.480 End, bal 47,600 Applied Manufacturing Overhead 0 Beg. bal Beg bal. 3 7 8. Manufacturing Overhead Control 0 1,300 17.260 36,800 End, bal 0 9 End, bal. 55 360 Accounts Payable Cash Bog. bal Bog, bal End, bal. 0 End bal Accumulated Depreciation Property, Plant, and Equipment Finished Goods Inventory Bog, bal Bog, bal Goods completed Transfer to Cost of Goods Sold End, bal End, bal 0 Cost of Goods Sold Beg bal Goods completed End, bal 0