he Dorilane Company produces a set of woo ustomer demand to justify producing its full capacity of 3,900 sets per year. Annual cost data at full capacity follow d patio furniture consisting of a table and four chairs. The company has enou Direct labor Advertising Factory supervision Property taxes, factory building Sales commissions Insurance, factory Depreciation, administrative office equipment Lease cost, factory equipment Indirect materials, factory Depreciation, factory building $89,000 $98,000 66,000 s 20,ee0 58,ee0 7,000 $ 2,000 $ 18,e00 $ 17,000 $109,000 $ 4,000 $111,000 $432,000 se,eee ministrative office supplies (billing) Administrative office salaries Direct materials used (wood, bolts, etc.) Utilities, factory Required 1. Enter the dollar amount of each cost item under the appropriate headings. Nate that each cost item is classified in two ways: first, as variable or fixed with respect to the number of units produced and sold; and second, as a selling and administrative cost or a product cost. (If the item is a product cost, it should also be classified as either direct or indirect.) 2. Compute the average product cost of one patio set 3. Assume that production drops to only 1,000 sets annually. Would you expect the average product cost per set to increase decrease, or remain unchanged? Required 1 Required 2 Required 3 Enter the dollar amount of each cost item under the appropriate headings. Note that each cost item is classified in two ways variable or fixed with respect to the number of units produced and sold; and second, as a selling and administrative cost or a cost. (If the item is a product cost, it should also be classified as either direct or indirect.) Period (Selling or Cost Behavior Product Cost Administrative) Cost Cost Item Variable Fixed Direct Indirect Direct labor Advertising Factory supervision Property taxes, factory building Insurance, factory Depreciation, administrative office equipment Indirect materials, factory Depreciation, factory building Administrative office supplies (billing) Administrative office salaries Direct materials used (wood, bolts, etc.) Utilities, factory Total costs Required 2 pluculn urops tb ohly 1000 sets annually. Would you exp decrease, or remain unchanged? Complete this question by entering your answers in the tabs below Required 1Required 2Required 3 Compute the average product cost of one patio set. (Round your final answer to ne verage product cost per set K Required 1 Required3 >