Problem 2-17 Schedule of Cost of Goods Manufactured; Income Statement; Cost Behaviou LO3, LO4, LO5] The following information pertains to the most recent quarter at Precious Production Limited. Purchases of raw materials Raw materials inventory, beginning Raw materials inventory, ending Depreciation, factory Insurance, factory Direct labour Maintenance, factory Administrative expenses Sales Utilities, factory Supplies, factory Selling expenses Indirect labour Work in process inventory, beginning Work in process inventory, ending Finished goods inventory, beginning Finished goods inventory, ending $ 376,500 44,400 73,500 195,500 21,100 247,700 124,400 288,800 2,064,000 113,500 4,110 329,900 267,700 28,550 122,200 41,650 166,600 Required: Help Save & Exit Su $ $ 347,400 247,700 PRECIOUS PRODUCTION Schedule of Cost of Goods Manufactured For the quarter ended xxxx Direct materials: Raw materials inventory, beginning 44,400 Add: Purchases of raw materials 376,500 Raw materials available for use 420,900 Deduct: Raw materials inventory, ending 73,500 Raw materials used in production Direct labour Manufacturing overhead: Depreciation, factory 195,500 Insurance, factory 21,100 124,400 Maintenance, factory 113,500 Utilities, factory 267,700 Indirect labour 4,110 Supplies, factory Total overhead costs Total manufacturing costs Add: Work in process inventory, beginning 726,310 1,321,410 28,550 cuuCULUM.CUM/low/connect.html assignment i Saved 4,1101 Supplies, factory Total overhead costs Total manufacturing costs Add: Work in process inventory, beginning 726,310 1,321,410 28,550 1,349,960 122,200 1,227,760 Deduct: Work in process inventory, ending $ Cost of goods manufactured 2,064 PRECIOUS PRODUCTION LIMITED THAT Income Statement For the quarter ended XXXX Sales Cost of goods sold: Finished goods inventory, beginning $ 41,650 Add: Cost of goods manufactured 1,227,760 Goods available for sale 1,269,410 Deduct: Finished goods inventory, ending 122,200 1,147,210 Gross margin (1,145,146) Selling and administrative expenses: 288,800 Administrative expenses 329,900 618,700 Selling expenses (1,763,846) Operating income Help Save & Exit Submit 3. Assume that the company produced the equivalent of 10,000 units of product during the year. 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.) Direct labour Insurance | $ $ Average cost 24.77 per unit 2.11 per unit 4. Assume that the company expects to produce 12,000 units of product during the coming year. 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 insurance is a fixed cost; also assume that insurance is computed on a straight-line basis.) (Do not round intermediate calculations. Round "Average cost per unit" answers to 2 decimal places.) Direct materials Insurance Average cost per unit $ 24.77 $ 1.76 Total cost $ 297,240 $ 21,100 . Not available in Connect. 3. Assuming the company produced 18,000 fully and partially finished units during the year, determine the cost components of the nished goods inventory, which is composed of 3,600 finished units. Direct materials Direct labour Manufacturing overhead $ 69,480 60,548,400 Total 60,617,880 Next >