7 Monoco 8 2. Based off the ACTUAL COSTS determined in 2021, compute the Supplemental Schedule for COGS. 9 *Hint* Use Actual Standard Costs from Tab CH24 Standard Costs 10 11 3. Fixed cost for 2021 were as follows: Building and Equipment Depreciation $65,000 Company Insurance $24,000 Company Advertising $125,000 15 Administrative Salaries and Benefits $350,000 Sundancer 12. 13 14 16 17 4. Management had to borrow some money from the bank to start the business five years ago. As a result, 18 they still have some interest expense. It is $10,000 per year. Management anticipates a 21% tax rate for the next several years. 19 20 21 22 23 Sundancer, Inc. 24 Income Statement 25 For the Year Ended December 31, 2021 26 $ 27 Sales 2,968,750 28 "Cost of goods sold 1,971,875 29 Gross profit 996,875 30 Selling and administrative expenses 564,000 31 Income from operations 32 Interest expense 10,000 33 Income before income taxes 34 Income tax expense 35 Net Income 36 37 *Supplemental Schedule - COGS Cost per Unit 38 Cost Element Quantity Unit Cost Total 39 Plastic Parts Direct materials: 380 pounds 3.00 $ 1,140.00 40 Metal Parts Direct materials: 470 pounds $ 2.00 $ 940.00 41 Paint and Stickers Direct materials: 7 pounds $ 5.00 $ 35.00 42 Direct labor 20 hour 28.00 $ 560.00 43 Manufacturing overhead - machine hours 40 hour $ $ 480.00 44 Total COGS per Unit 50 $ 3,155.00 ulunanlal 12.00 45 46 47