Problem $2-17$ Schedule of Cost of Goods Manufactured; Income Statement; Cost Behaviour $[$LO$1,$ LO$2,$ LO$3,$ LO$4,$ LO$5]$

The following information pertains to the most recent quarter at Precious Production Limited.

Purchases of raw materials $ $372,000$

Raw materials inventory, beginning $43,200$

Raw materials inventory, ending $72,000$

Depreciation, factory $188,000$

Insurance, factory $20,800$

Direct labour $245,600$

Maintenance, factory $123,200$

Administrative expenses $286,400$

Sales $1,992,000$

Utilities, factory $112,000$

Supplies, factory $4,080$

Selling expenses $327,200$

Indirect labour $265,600$

Work in process inventory, beginning $28,400$

Work in process inventory, ending $121,600$

Finished goods inventory, beginning $41,200$

Finished goods inventory, ending $164,800$

Required:

$1.$ Prepare a schedule of cost of goods manufactured.

$2.$ Prepare an income statement.

$3.$ Assume that the company produced the equivalent of $18,000$ units of product during the quarter. What was the average cost per unit for direct labour? What was the average cost per unit for factory insurance? $($Round your answers to $2$ decimal places.$)$

$4.$ Assume that the company expects to produce $20,000$ units of product during the coming quarter. What average cost per unit and what total cost would you expect the company to incur for direct materials at this level of activity? For factory insurance? $($In preparing your answer, assume that direct materials is a variable cost and that factory insurance is a fixed cost.$)($Round "Average cost per unit" answers to $2$ decimal places.$)$

$5.$ This part of the question is not part of your Connect assignment.

$6.$ Assuming the company produced $25,000$ fully and partially finished units during the quarter, determine the cost components of the finished goods inventory, which is composed of $5,000$ finished units.