Problem 16-1A Production cost flow and measurement; journal entries LO P1, P2, P3, P4 The following information applies to the questions displayed below] Sierra Company manufactures woven blankets and accounts for product costs using process costing. The company uses a single processing department. The following information is avallable regarding its May Raw materials inventory Work in process inventory Finished goods Inventory Beginning Ending Inventory Inventory $ 60,000 $ 92,500 515,000 633.000 605,000 435,000 The following additional Information describes the company's production activities for May Raw materials purcheses (on credit Factory peyroll cost (paid in cash) Other overhead cost Other Accounts credite Materials used $ 250,000 87000 157,500 Direct Indirect Labor used Direct 60,000 s 780,000 750,000 Overhead rate as a percent of direct labor Sales jon credit. 15% $2,500,000 The predetermined overhead rate was computed at the beginning or the year as 115% or area labor cost Section Break Problem 16-1A Production cost flow and measurement journal entries LO P1, P2, P3 P4 esc : FI F2 ooD FA FS