Prepare journal entries to record the following transactions:

July 1 Materials purchased,$15,500. Paid for 75% and the rest on account.. July 8 Materials requisitioned, 12,500 for which $12,000 is direct. July 12 Labor used in production, $30,000 of which $1,650 is indirect. July 15 Factory overhead incurred on account, $3,000. July 20 Factory overhead is applied at the rate of 70% of direct labor. July 25 Jobs completed, $25,000 July 31 Sold jobs for $60,000 that cost $42,000.