Sandhill Company has two production departments: Cutting and Assembly. July 1 inventories are Raw Materials $ 5,040, Workin Process-Cutting $3,480, Work in Process-Assembly $ 12,720, and Finished Goods $ 37,200. During July, the following transactions occurred. 1. Purchased $75,000 of raw materials on account. 2. Incurred $ 72,000 of factory labor. (Credit Wages Payable.) 3. Incurred $ 84,000 of manufacturing overhead; $ 48,000 was paid and the remainder is unpaid. 4. Requisitioned materials for Cutting $ 18,840 and Assembly $ 10,680. 5. Used factory labor for Cutting $ 39,600 and Assembly $ 32,400. 6. Applied overhead at the rate of $ 18 per machine hour. Machine hours were Cutting 2,024 and Assembly 2,056. 7. Transferred goods costing $ 81,120 from the Cutting Department to the Assembly Department. 8. Completed and transferred goods costing $ 161,880 from Assembly to Finished Goods Inventory. 9. Sold goods costing $ 180,000 for $240,000 on account. No. Account Titles and Explanation Debit Credit 1. 2. 3. 4. 5. 7. 8. 9. (To record the cost of goods sold) (To record the sale)