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: Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Beginning Inventory $ 6,000 Ending Inventory $ 9,250 43,500 51,500 63,300 60,500 20,100 8,250 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 Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching $ 25,000 21,750 0 $ 15,600 62,400 $ 6,000 55,000 46,505 (150% of direct materials used) (120% of direct labor used) Sales $ 256,000 Answer is not complete. Requirement General Journal General Ledger Trial Balance Raw Materials Cost of Goods Mfg Cutting Cost of Goods Mfg Stitching Cost of Goods Sold Gross Profit Prepare journal entries for the month of May's transactions. No 1 Date May 31 Account Title Raw materials inventory Accounts payable 2 May 31 3 May 31 Work in process inventory-Cutting Raw materials inventory Factory overhead Raw materials inventory 4 May 31 Work in process inventory-Stitching Work in process inventory-Cutting < Requirement General Ledger > Debit Credit 25,000 25,000 21,750 21,750 6,000 6,000 0 21,750 Verify the ending balance in raw materials inventory. Materials used should be indicated with a minus sign. Beginning Raw Materials Inventory Materials available for use $ 6,000 Ending raw material inventory < Trial Balance 0 Raw Materials Cost of Goods Mfg Cutting > Prepare a schedule of cost of goods manufactured for the Cutting Department for the month of May. Total manufacturing costs added during May Total cost of work in process Dates: Apr 30 < Raw Materials Cost of Goods Mfg Stitching > to: Apr 30 Prepare a schedule of cost of goods manufactured for the Stitching Department for the month of May. Total manufacturing costs added during May Total cost of work in process Cost of goods manufactured < Cost of Goods Mfg Cutting 63,300 63,300 (60,500) 2,800 Dates: Apr 30 Cost of Goods Sold > to: Apr 30 Calculate the value of cost of goods sold for the month of May. Ignore any over- or underapplied overhead in the calculation of cost of goods sold. Calculate cost of goods sold: Cost of goods available for sale Dates: Apr 30 to: Apr 30 Cost of goods sold $ 213,905 < Cost of Goods Mfg Stitching Gross Profit > Calculate the value of gross profit for the month of May. Gross Profit $ 256,000 (213,905) $ 42,095 Dates: Apr 30 to: Apr 30 < Cost of Goods Sold Gross Profit >