3. Refer to the Jackson Gears examples in Exhibits 2.12 and 2.13. Assume that the variable marketing and administrative cost falls to $3 per unit; all other cost numbers remain the same. What are the new gross margin, contribution margin, and operating profit amounts? 4. Refer to the Jackson Gears examples in Exhibits 2.12 and 2.13. Assume that the fixed manufacturing cost dropped from $12,000 to $10,000 in total, or from $6 to $5 per unit. All other unit cost numbers remain the same as in Exhibits 2.12 and 2.13. What are the new gross margin, contribution margin, and operating profit amounts? 5. What is the difference in meaning between the terms cost and expense? 6. What is the difference between product costs and period costs? 7. What is the difference between outlay cost and opportunity cost? 8. Provide a business example illustrating opportunity costs. 9. Is "cost-of-goods sold an expense? 10. Is cost-of-goods" a product cost or a period cost? 1. A review of accounts showed the following for Pacific Parts for last year. a. Prepare an income statement with a supporting cost of goods manufactured and sold statement. Refer to Exhibits 2.7 and 2.8. b. Using the data from question 1, place dollar amounts in each box in Exhibit 24. Administrative costs. Depreciation, manufacturing.. Direct labor.... Direct materials purchases Direct materials inventory, January 1 Direct materials inventory, December 31 Finished goods Inventory, January 1 Finished goods inventory, December 31 Heat, light, and power plant. Marketing costs. Miscellaneous manufacturing costs $1,216,000 412,000 1,928,000 1,252,000 408,000 324,000 640,000 588,000 348,000 1,088,000 48,000 (continued) Plant maintenance and repairs. Sales revenue.. Supervisory and indirect labor Supplies and indirect materials. Work-in-process inventory, January 1 Work-in-process inventory, December 31... 296,000 8,144,000 508,000 56,000 540,000 568,000 2. Refer to the Jackson Gears example in Exhibit 2.11 that is based on a volume of 2,000 units per year. Assume the same total fixed costs and unit variable costs but a volume of only 1,600 units. What are the fixed manufacturing costs per unit and the fixed marketing and administrative costs per unit