Forest Components makes aircraft parts. The following transactions occurred in July:

1. Purchased $16,980 of materials on account.

2.Issued $16,860 in direct materials to the production department.

3.Issued $1,350 of supplies from the materials inventory.

4. Paid for the materials purchased in transaction (1) using cash.

5. Returned $2,040 of the materials issued to production in (2) to the materials inventory.

6.Direct labor employees earned $32,100, which was paid in cash. .

7. Paid $17,360 for miscellaneous items for the manufacturing plant. Accounts Payable was credited.

8. Recognized depreciation on manufacturing plant of $35,600.

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 $434,600. Estimated overhead for the year was $395,486.

The following balances appeared in the inventory accounts of Forest Components for July: Beginning Ending Materials Inventory ? $ 12,440

Work-in-Process Inventory ? 10,650

Finished Goods Inventory $ 2,760 6,930

Cost of Goods Sold ? 75,100