Darwin Company manufactures only one product that it sells for $200 per unit. The company uses plantwide overhead cost allocation based on the number of units produced. It provided the following estimates at the beginning of the year: Number of units produced Total fixed manufacturing overhead costs Variable manufacturing overhead per unit produced 50,000 $1,000,000 12 During the year, the company had no beginning inventories of any kind and no ending raw materials or work in process inventories. All raw materials were used in production as direct materials. An unexpected business downturn caused annual sales to drop to 38,000 units. In response to the decline in sales, Darwin decreased its annual production to 40,000 units. The company's actual costs for the year were as follows Variable costs per unit: Manufacturing: Direct materials 78 60 12 15 Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses $1,000,000 $ 350,000 Required: 1. Assuming the company uses normal costing (as described in Chapters 2 and 3) a. Compute the plantwide predetermined overhead rate b. Compute the unit product cost for each unit produced during the year. c. Prepare a schedule of cost of goods manufactured and a schedule of cost of goods sold. Assume that any underapplied or overapplied overhead is closed entirely to cost of goods sold d. Compute absorption costing net operating income for the year 2. Assuming the company uses actual costing (as described in Chapter 6): a. Compute the unit product cost for each unit produced during the year. b. Compute absorption costing net operating income for the year. Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 1C Req 1D Req 2A Req 2B Compute the plantwide predetermined overhead rate. Plantwide predetermined overhead rate per unit Req 1A Req 1B > Req 1A Req 1B Req 1C Req 1D Req 2A Req 2B Compute the unit product cost for each unit produced during the year. Unit product cost Prepare a schedule of cost of goods manufactured and a schedule of cost of goods sold. Assume that any underapplied or overapplied overhead is closed entirely to cost of goods sold. Darwin Company Cost of Goods Manufactured Direct materials: Total raw materials available Raw materials used in production Total manufacturing costs Cost of goods manufactured Cost of Goods Sold Cost of goods available for sale Unadjusted cost of goods sold Adjusted cost of goods sold Compute absorption costing net operating income for the year. Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Req 1C Req 2A Compute the unit product cost for each unit produced during the year. Unit product cost Req 1D Req 2B> Compute absorption costing net operating income for the year. Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income K Req 2A Req 2B>