Officemate Company produces and sell office furniture and began its operation on 1 January 2021. The following are costs incurred during 2021: Direct Materials Used Direct Manufacturing Labor Costs Plant Energy Costs Indirect Manufacturing Labor Costs Sales Commission Costs $149,500 V $ 34,500 V $ 6,000 V $ 63,000 M $ 126,000 V 47,000 F Marketing, Distribution, and Service Costs $ Administrative Costs $ 58,000 F V stands for Variable Costs. The driver for variable cost is number of units produced for manufacturing costs and number of units sold for non-manufacturing costs. F stands for Fixed Costs, and M stands for Mixed Costs. The company has gathered the data during the last five years for this cost as follows: Year 2020 2019 2018 2017 2016 Indirect Manufacturing Labor Costs $61,580 $65,450 $67,520 $63,325 $62.270 Unit Produced 89,000 103,000 125,000 112,000 96.000 At the end of the year 2021, the company has direct materials inventory of 2,300 lbs. but no work-in-process inventory. Production in 2021 was 115,000 units. Two pounds of direct materials are used to make one unit of finished product. Revenues in 2021 were $540,000. The selling price per unit and the purchase price per pound of direct materials were stable throughout the year. The company's ending inventory of finished goods is carried at the average unit manufacturing cost for 2021. On December 31, 2021, finished-goods inventory was $15,400. Required: 1. Using the High and Low Method, determine the fixed and variable cost component of the indirect manufacturing costs. 2. What is the objective to have the fixed and variable cost component in a mixed cost behavior? 3. Determine the total prime costs and total conversion costs for 2021 4. Determine the total product costs and total period costs for 2021 5. Calculate the total cost of direct materials inventory at December 31, 2021. 6. Calculate the finished-goods inventory in units at December 31, 20201 7. Calculate the selling price in 2021. 8. Calculate the operating income for 2021.