Required information [The following information applies to the questions displayed below.] Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories. Ending Inventory Beginning Inventory $ 66,000 163,500 $ 79,450 120,500 Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory 183,300 44,100 97,700 32,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching Direct labor Direct labor-Cutting Direct labor-Stitching $ 21,600 86,400 Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching Sales $ 85,000 24,750 $ 46,800 57,400 59,000 150% of direct materials used 120% of direct labor used $736,000 2. Prepare May 31 journal entries to record the following May activities: a. Raw materials purchases b. Direct materials used c. Indirect materials used d. Direct labor used e. Indirect labor used f. Other overhead costs paid in cash g. Overhead applied h. Goods transferred from Cutting to Stitching i. Goods transferred from Stitching to finished goods j. Sales (on account) k. Cost of goods sold View transaction list View journal entry worksheet No Date General Journal Debit Credit 1 May 31 Raw materials inventory Accounts payable 85,000 85,000 2 May 31 Work in process inventory-Cutting Work in process inventory-Stitching Raw materials inventory 24,750 0 24,750 3 May 31 Factory overhead Raw materials inventory 46,800 46,800 4 May 31 Work in process inventory-Cutting 21,600 Work in process inventory-Stitching 86,400 Factory wages payable 108,000 5 May 31. Factory overhead Factory wages payable 57,400 57,400 6 May 31 Factory overhead 59,000 59,000 > 7 May 31 Work in process inventory-Cutting 8 May 31 Work in process inventory-Stitching Factory overhead Work in process inventory-Stitching Work in process inventory-Cutting 9 May 31 Finished goods inventory Work in process inventory-Stitching 10 May 31 Accounts receivable Sales 11 May 31 Cost of goods sold Finished goods inventory 37,125 103,680 140,805 736,000 736,000