You are to maintain records and produce measures of inventories to reflect the July events of this company. The June 30 balances: Raw Materials Inventory, $39,000; Work in Process Inventory, $11,585 ($3,660 of direct materials and $7,925 of conversion); Finished Goods Inventory, $200,000; Sales, $0; Cost of Goods Sold, $0; Factory Payroll Payable, $0; and Factory Overhead, $0. 1. Prepare journal entries to record the following July transactions and events. a. Purchased raw materials for $215,000 cash. b. Used raw materials as follows: direct materials, $70,090; and indirect materials, $20,000. c. Recorded factory wages payable costs as follows: direct labor, $227,250; and indirect labor, $35,000. d. Incurred other actual factory overhead costs of $58,625 paid in cash. e. Applied factory overhead to production at 50% of direct labor costs. 2. Information about the July work in process (WIP) inventory follows. Use this information with that from part 1 to prepare a production cost report, assuming the weighted average method is used. Units Beginning WIP inventory Started Units transferred out Ending WIP inventory Beginning WIP Inventory Direct materials-Percent complete Conversion-Percent complete Ending WIP Inventory Direct materials-Percent complete Conversion-Percent complete 12,500 units 17,000 units 18,500 units 11,000 units 100% 70% 100% 30% 3. Using the results from part 2 and the available information, make computations and prepare journal entries to record the following: f. Total costs transferred to finished goods for July. g. Sale of finished goods costing $315,700 for $725,000 in cash. 4. Post entries from parts 1 and 3 to the following general ledger accounts. 5. Compute the amount of gross profit from the sales in July.