Forest Components makes aircraft parts. The following transactions occurred in July. 1. Purchased $16,870 of materials on account. 2. Issued $16,710 in direct materials to the production department. 3. Issued $1,210 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 $32,600, which was paid in cash. 7. Purchased miscellaneous items for the manufacturing plant for $17,330 on account. 8. Recognized depreciation on manufacturing plant of $36,400. 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 $434,500. Estimated overhead for the year was $412,775. The following balances appeared in the inventory accounts of Forest Components for July. Beginning Ending $12,480 10,550 $2,610 7,030 74,700 Materials Inventory Work-in-Process Inventory Finished Goods Inventory Cost of Goods Sold 10 550 Beg. bal. Materials Inventory 11,440 o 16,870 16,710 Beg. bal. 2. Work-In-Process Inventory 11,440 0 16,710 2. 0 1,210 3. 79,120 Transferred to Finished Goods 0 6. 2,090 12,480 0 0 End. bal. 32,600 30,970 12,600 End. bal. Applied Manufacturing Overhead Manufacturing Overhead Control O O Beg. bal. Beg. bal. End. bal. U End. bal. 0 Accounts Payable Cash Accounts Payable Cash Beg. bal. Beg. bal. End. bal. End. bal. Finished Goods Inventory Accumulated Depreciation Property, Plant, and Equipment Beg. bal. Beg. bal. Goods completed Transfer to Cost of Goods Sold End. bal. End. bal. Cost of Goods Sold Beg. bal. Goods completed End. bal