Sierra Company manufactures soccer balts 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 Ending Inventory Inventory Work in process inventory-Cutting 43,500 51,500 Work in process inventory-stitching 63,300 60,580 Finished goods inventory 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 525,000 21,750 0 Direct labor Direct labor-cutting Direct labor-Stitching Total factory payroll paid (in cash) 5 15,600 62,400 133,000 Factory overhead actual costs Indirect materials used Indirect labor used Other overhead costs $ 6,000 55,000 47.000 Factory Overhead Bates cutting (1501 of direct materials used) Stitching (120% of direct labor used Sales $250,000 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. Ignore any over- or under-applied overhead in the calculation of cost of goods sold. Direct materials - Cutting Direct labor - Cutting Work in Process (WIP) - Cutting 21,750 RM - April 30 15,600 37,350 Work In Process (WIP) - Stitching -- Finished Goods (FG) Prepare summary journal entries dated May 31 to record the following production activities during May: (a) raw materials purchases, direct materials usage. (C) Indirect materials usage, (d) direct labor costs incurred, (e) indirect labor costs incurred, () payment of ctory payroll. (9) other overhead costs, (credit Other Accounts), (h) overhead applied, (goods transferred from Cutting to Stitching, goods transferred from Stitching to finished goods, (k) cost of goods sold, and (1) sales View transaction list Journal entry worksheet 1 2 5 6 7 8 12 Record purchase of raw materials. Note: Enter debits before credits General Journal Debit Dato May 31 Credit Record entry Clear entry View general journal