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: Beginning Ending Inventory Inventory $9,250 51,500 60,500 8,250 $ 6,000 Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory 43,500 63,300 20,100 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on eredit Direct materials used-Cutting Direct materials used-Stitching $ 25,000 21,750 0 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) 15,600 62,400 133,000 Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs 6,000 55,000 47,000 Factory Overhead Rates Cutting Stitching Sales (150% of direct naterials used) (120% of direct labor used) $256,000 2. Prepare summary journal entries dated May 31 to record the following production activities during May: (a) raw materials purchases (b) direct materials usage, (c) indirect materials usage, (d) direct labor costs incurred, (e) indirect labor costs incurred, (f) payment of factory payroll, (a) other overhead costs, (credit Other Accounts), (h) overhead applied, () goods transferred from Cutting to Stitching, ) goods transferred from Stitching to finished goods, (k) cost of goods sold, and () sales View transaction list Journal entry worksheet 8