[The Following Information Applies To The Questions Displayed Below.) 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

 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. Ignore any over- or under-applied overhead in the calculation of cost of goods sold. Work in Process (WIP) - Cutting Work in Process (WIP) - Stitching Finished Goods (FG)

 

 

 

[The following information applies to the questions displayed below.] 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 Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Ending Inventory Inventory 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 $ 25,000 21,750 0 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs $ 6,000 55,000 47,000 Factory Overhead Rates Cutting Stitching Sales $ 15,600 62,400 133,000 (150% of direct materials used) (120% of direct labor used) $256,000