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: Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Beginning Ending Inventory Inventory 243,500 160,500 263,300 122,500 60,100 48,250 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 $125,000 26,750 0 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) $ 25,600 102,400 187,000 Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs $ 75,600 59,000 67,000 Factory Overhead Rates Cutting (150% of direct materials used) Stitching (120% of direct labor used) Sales $1,056,000 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. WIP - April 30 Direct materials - Cutting Direct labor - Cutting Overhead - Cutting WIP - May 31 Work in Process (WIP) - Cutting 243,500 C of GM - Cutting 26,750 25,600 40,125 335,975 Work in Process (WIP) - Stitching C of GM - Stitching WIP - April 30 C of GM - Cutting Direct labor - Stitching Overhead - Stitching WIP - May 31 Finished Goods (FG) Cost of goods sold FG - April 30 C of GM - Stitching FG - May 31