Morrison & Company incurred the following costs during August:

Raw materials purchased	$ 42,950
Direct labor ($12.4 per hour)	53,940
Manufacturing overhead (actual)	90,410
Selling expenses	31,040
Administrative expenses	14,700
Interest expense	6,478

Manufacturing overhead is applied on the basis of $19 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, 4,080 units of product were manufactured and 4,520 units of product were sold. On August 1 and August 31, Morrison & Company carried the following inventory balances:

	August 1	August 31
Raw materials	$ 19,400	$ 17,200
Work in process	52,700	56,300
Finished goods	41,500	22,289

Required:

Prepare a statement of cost of goods manufactured for the month of August and calculate the average cost per unit of product manufactured.

Calculate the cost of goods sold during August.

Calculate the difference between cost of goods manufactured and cost of goods sold. How will this amount be reported in the financial statements?

Prepare a traditional (absorption) income statement for Morrison & Company for the month of August. Assume that sales for the month were $282,800 and the company's effective income tax rate was 33%.

Complete this question by entering your answers in the tabs below. Prepare a statement of cost of goods manufactured for the month of August. Note: Amounts to be deducted should be indicated by minus sign. a-2. Calculate the average cost per unit of product manufactured. Note: Round your answer to 2 decimal places, b. Calculate the cost of goods sold during August. c1. Calculate the difference between cost of goods manufactured and cost of goods sold. Note: Round your intermediate calculations 2 decimal places. c-2. How will this amount be reported in the financial statements? Complete this question by entering your answers in the tabs below. Prepare a traditional (absorption) income statement for Morrison Q. Company for the month of Augu the month were $282,800 and the company's effective income tax rate was 33%. Note: Do not round intermediate calculations