Waterway Corp. designs and manufactures mascot uniforms for high school, college, and professional sports teams. Since each team's uniform is unique in color and design, Waterway uses a jotb order costing system. On January 1, the T-accounts for some of Waterway's primary balance sheet accounts were as follows: Raw Materials Inventory Work in Process Inventory Beg 16,700 Beg 30,400 Finished Goods Inventory Cash Beg 22,700 Beg 45,100 Accounts Receivable Accounts Payable Beg 68,400 Beg 41,900 During the year, the following events occurred: 1. Waterway purchased raw materials costing $87,000 on account. 2. waterway used $93,000 of raw materials in production. Of these, 70% were classified as direct materials and 30% as indirect materials. (waterway maintains a single Raw Materials Inventory account.) 3. Waterway used 30,900 hours of direct labor. The company's average direct labor rate was $7.50 per hour (credit Wages Payable) 4. The company's only indirect labor cost was the salary of a security guard hired to watch the company's shop after hours. The guard's annual salary was $21,900 (credit Wages Payable)