Income Statement, Cost of Goods Manufactured Spencer Company produced 200,000 cases of sports drinks during the past calendar year. Each case of 1-liter bottles sells for $36. Spencer had 2,500 cases of sports drinks in finished goods inventory at the beginning of the year. At the end of the year, there were 11,500 cases of sports drinks in finished goods inventory. Spencer's accounting records provide the following information: Purchases of direct materials $2,340,000 Direct materials inventory, January 1 290,000 Direct materials inventory, December 31 110,000 Direct labor 1,100,000 Indirect labor 334,000 Depreciation, factory building 525,000 Depreciation, factory equipment 416,000 Property taxes on factory 65,000 Utilities, factory 150,000 Insurance on factory 200,000 Salary, sales supervisor 85,000 Commissions, salespersons 214,000 Advertising 500,000 General administration 390,000 Work-in-process inventory, January 1 460,000 Work-in-process inventory, December 31 750,000 Finished goods inventory, January 1 107,500 Finished goods inventory, December 31 488,750 Required: 1. Prepare a cost of goods manufactured statement. Spencer Company Statement of Cost of Goods Manufactured For the Year Ended December 31 Direct materials: 10 minu 9 Manufacturing overhead: Manufacturing overhead: Total manufacturing costs added Cost of goods manufactured 2. Compute the cost of producing one case of sports drink last year. If required, round your answer to the nearest cent. $ per case 3. Prepare an income statement on an absorption-costing basis. Show the percentage of sales that each line item represents. Round the percent to four decimal places before converting to a percentage. For example, .88349 would be rounded to .8835 and entered as 88.35. Spencer Company Income Statement: Absorption Costing For the Year Ended December 31 Percent % Cost of goods sold: % $ Less: Operating expenses: % % % 4. Consider Step 4 "where" core issue described in Exhibit 2.5. Briefly explain why you would expect Spencer's accountants to find it easy or difficult to answer this "where" question with respect to conducting data analyses involving its cost of goods sold. Given that the data analyses in the question involving Spencer's cost of goods sold, the accountants should find the data needed to conduct the desired statistical analysis. Cost of goods sold, like any accounting data that adhere to Generally Accepted Accounting Principles (GAAP) for public disclosure via the financial statements, be readily available from the company's tightly controlled and accessible general ledger or other internal financial accounting system