Morrison & Company incurred the following costs during August: Raw materials purchased Direct labor ($13.4 per hour) Manufacturing overhead (actual) Selling expenses Administrative expenses Interest expense $ 43,800 57,888 90,300 31,280 14,960 6,093 Manufacturing overhead is applied on the basis of $23 per direct labor hour. Assume that overapplied or underapplied overhead is transferred to cost of goods sold only at the end of the year. During the month, 4,090 units of product were manufactured and 4,560 units of product were sold. On August 1 and August 31, Morrison & Company carried the following inventory balances: Raw materials Work in process Finished goods August 1 $19,200 53,000 40,200 August 31 $17,200 56,100 17,223 Required: a. Prepare a statement of cost of goods manufactured for the month of August and calculate the average cost per unit of product manufactured. b. Calculate the cost of goods sold during August. c. Calculate the difference between cost of goods manufactured and cost of goods sold. How will this amount be reported in the financial statements? d. Prepare a traditional (absorption) income statement for Morrison & Company for the month of August. Assume that sales for the month were $282,300 and the company's effective income tax rate was 40%. Req A1 Req A2 to C2 Reg D Prepare a statement of cost of goods manufactured for the month of August. (A minus sign.) MORRISON & COMPANY Statement of Cost of Goods Manufactured For the month of August Raw materials: Raw materials available for use Cost of raw materials used $ 0 Total manufacturing costs, August $ Cost of goods manufactured, August Complete this question by entering your answers in the tabs below. Req A1 Req A2 to C2 Reg D a-2. Calculate the average cost per unit of product manufactured. (Round your answer to 2 decimal places.) b. Calculate the cost of goods sold during August. C-1. Calculate the difference between cost of goods manufactured and cost of goods sold. (Round your intermediate calculations 2 decimal places.) C-2. How will this amount be reported in the financial statements? Show less A a-2. b. c-1. C-2. Cost per unit Cost of goods sold Difference Amount will be reported in Complete this question by entering your answers in the tabs below. Reg A1 Req A2 to C2 Req D Prepare a traditional (absorption) income statement for Morrison & Company for the month of August. Assume that sales for the month were $282,300 and the company's effective income tax rate was 40%. (Do not round intermediate calculations.) MORRISON & COMPANY Absorption Income Statement For the month of August