Bob's Bistro produces party-sized hoagie sandwiches. For next year, Bob's Bistro predicts that 50,800 units will be produced with the following total costs: $61,000 Direct materials Direct labor Variable overhead Fixed overhead 22,000 215,000 Next year, Bob's Bistro expects to purchase $123,000 of direct materials. Projected beginning and ending inventories for direct materials and work in process are as follows: Direct materials Work-in-Process Inventory Inventory Beginning $5,000 $14,800 Ending $4,900 $16,800 Bob's Bistro expects to produce 50,800 units and sell 50,100 units. Beginning inventory of finished goods is $42,500, and ending inventory of finished goods is expected to be $34,000. Cost of goods available for sale Required: Cost of goods manufactured 1. Prepare a statement of cost of goods sold in good form. Cost of goods sold Bob's Bistro Ending finished goods Statement of Cost of Goods Sold For the Coming Year Add: Beginning finished goods Add: Cost of goods available for sale Add: Cost of goods sold 222 Add: Ending finished goods Less: Beginning finished goods Less: Cost of goods manufactured Less: Cost of goods sold Less: Ending finished goods 2. What if the beginning inventory of finished goods increased by $3,500? What would be the effect on the cost of goods sold? by s increase decrease ??? no change