Strods 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 $ 81,000 193,500 213,300 170,100 Ending Inventory $ 97,900 59,000 135,500 38,250 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 $100,000 25,500 O Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) $ 23, 100 92,400 173,500 Factory Overhead (Actual costs) Indirect materials used Indirect labor used $57,600 58,000 62,000 Other overhead costs Factory Overhead Rates Cutting (150% of direct materials used) Stitching (120% of direct labor used) Sales $856,000 No Date Account Title Debit Credit 1 May 31 Raw materials inventory 100,000 Accounts payable 100,000 2 May 31 Work in process inventory-Cutting 25,500 Raw materials inventory 25,500 3 May 31 Factory overhead 57,600 Raw materials inventory 57,600 4 May 31 Work in process inventory-Cutting 23,100 Work in process inventoryStitching 92,400 Factory wages payable 115,500 5 May 31 Factory overhead 58,000 Factory wages payable 58,000 6 May 31 Factory wages payable 173,500 Cash 173,500 7 May 31 Factory overhead 62,000 Other accounts 62,000 8 May 31 38,250 Work in process inventory-Cutting Work in process inventory-Stitching 110,880 Factory overhead 149,130 May 31 Work in process inventory_Stitching 221,350 Work in process inventory-Cutting 221,350 10 May 31 Finished goods inventory 502,430 Work in process inventoryStitching 502,430 11 May 31 634,280 Cost of goods sold Finished goods inventory 634,280 12 May 31 Accounts receivable 856,000 Sales 856,000 Beginning Raw Materials Inventory Materials available for use Ending raw material inventory $ 0 Total manufacturing costs added during May Total cost of work in process Calculate cost of goods sold: Cost of goods available for sale Cost of goods sold Gross Profit $ 0