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 Inventory Ending Inventory Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory $ 106,000 $ 128,650 160,500 243,500 263,300. 60,100 122,500 48,250 The following additional information describes the company's production activities for May. Direct material Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching Direct labor Direct labor-Cutting Direct labor-Stitching. $ 25,600 102,400) Factory Overhead (Actual costa) Indirect materials used Indirect labor used. Other overhead costs Factory Overhead Rates Cutting Stitching Sales $ 125,000 26,750 $ 75,600 59,000 67,000 0 1508 of direct materials used. 120% of direct labor used. $ 1,056,000