Discon Corporation manufactures a popular doll called Teardrops. Last year the company started with 11,100 dolls, produced 260,000 dolls, and ended the year with 9,100 dolls. Each doll was sold for $19. The actual unit cost for Teardrops is given below:

Direct material	$	2.05
Direct labour		0.40
variable overhead		2.40
Fixed overhead		7.65
Total unit cost	$	12.50

The only selling expenses were a commission of $2 per unit sold and advertising amounting to $361,000. Administrative expenses, all fixed, equalled $281,000. There were no beginning and ending work-in-process inventories.

Required: 1. Prepare an income statement.

2. Calculate the following per unit costs: (Round your answers to 2 decimal places.)