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 InventoryInventory Work in process inventory- 43,500 51,500 Cutting Work in process inventory- ntory- 63,300 12.20 60,500 Stitching Finished goods inventory 20,100 8,250 The following additional information describes the company's production activities for May. $25.000 Direct materials Raw materials purchased on credit Direct materials used- Cutting Direct materials used- Stitching 21,750 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) $ 15,600 62,400 133,000 133.0 Factory Overhead (Actual costs) Indirect materials $ 6,000 used Indirect labor used 55,000 Other overhead costs 47,000 Factory Overhead Rates Cutting (150% of direct materials used Stitching (120% of direct labor, used Sales $256,000 Required: 1. Compute the amount of (a) production costs transferred from Cutting to Stitching, (b) production costs transferred from Stitching to finished goods, and (c) cost of goods sold. Ignore any over- or under-applied overhead in the calculation of cost of goods sold. Answer is not complete. Work in Process (WIP) - Cutting 63,500X Direct labor - Stitching 22,250X WIP - May 31 16,600X X 33,375 X X X WIP - April 30 Direct materials - Cutting Direct labor - Cutting Other overhead costs 65,225 x 70,500X Work in Process (WIP) - Stitching Finished Goods (FG) 2. Prepare summary journal entries dated May 31 to record the following materials purchases, (b) direct materials usage, (c) indirect materials usa labor costs incurred, (f) payment of factory payroll, (g) other overhead co applied, (i) goods transferred from Cutting to Stitching, () goods transfer goods sold, and (1) sales. View transaction list View journal entry worksheet 1 Record purchase of raw materials. 2 Record direct materials used in production. 3 Record indirect materials used in production. 4 Record direct labor cost incurred, but not yet paid. 5 Record indirect labor cost incurred, but not yet paid. 6 Record payment of total factory payroll. Note : = journal entry has been entered 7 Record other overhead costs incurred (credit Other accounts). 8 Record overhead applied at 150% of direct materials costs (Cutting) and 120% of direct labor cost (Stitching). 9 Record the transferred costs of partially completed goods. 10 Record the transfer of completed products from production to finished goods inventory. 11 Darord net of nondo cold for May Note : = journal entry has been entered