Forest Components makes aircraft parts. The following transactions occurred in July, 1. Purchased $16,800 of materials on account 2. Issued $16,730 in direct materials to the production department 3. Issued $1,340 of supplies from the materials inventory 4. Paid for the materials purchased in transaction (1) using cash. 5. Returned $2,060 of the materials issued to production in (2) to the materials inventory. 6. Direct labor employees earned $31,100, which was paid in cash. 7. Purchased miscellaneous items for the manufacturing plant for $17,300 on account. 8. Recognized depreciation on manufacturing plant of $35,700. 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 $435,600. Estimated overhead for the year was $431,244 The following balonces appeared in the inventory accounts of Forest Components for July Beginning Ending Materials Inventory $12,590 Work-in-Process Inventory ? 10, 640 Finished Goods Inventory $2,750 6,990 Cost of Goods Sold 74,100 2 7 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. Required A Required B Prepare journal entries to record these transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet B C D E A F F G G H 1 Purchased $16,800 of materials on account. Note: Enter debits before credits Transaction General Journal Debit Credit 1 Record entry Clear entry View general Journal Required A Required B Prepare journal entries to record these transactions. (If no entry is required for a transaction/eve the first account field.) View transaction list Journal entry worksheet A B D 1 E F G H Issued $16,730 in direct materials to the production department. Note: Enter debits before credits. Transaction General Journal Debit Credit 2 Record entry Clear entry View general journal Journal entry worksheet Paid for the materials purchased in transaction (1) using cash. Note: Enter debits before credits. Transaction General Journal Debit Credit 4 Record entry Clear entry View general journal Journal entry worksheet Returned $2,060 of the materials issued to production in (2) to the materials inventory. Note: Enter debits before credits. General Journal Debit Credit Transaction 5 Record entry Clear entry View general journal Journal entry worksheet F B C D E F G H 1 Direct labor employees earned $31, 100, which was paid in cash. Note: Enter debits before credits. Transaction General Journal Debit Credit 6 Record entry Clear entry View general journal Journal entry worksheet Purchased miscellaneous items for the manufacturing plant for $17,300 on account. Note: Enter debits before credits. Transaction General Journal Debit Credit 7 Record entry Clear entry View general journal Journal entry worksheet Recognized depreciation on manufacturing plant of $35,700. Note: Enter debits before credits. General Journal Debit Credit Transaction 8 Record entry Clear entry View general journal Journal entry worksheet