Q1: The cost of salaries for the office staff would be classified as a(n) ___________ (direct materials, direct labor, overhead, or period) cost as well as a ___________ (variable or fixed) cost.

Q2: The cost of insurance for the factory would be classified as a(n) ____________ (direct materials, direct labor, overhead, or period) cost as well as a (variable or fixed) cost.

Q3: For part b., what two specific actions would you recommend?

Q4: For part c., what amount of cost of goods sold would the company report in its financial statements? Round your answer to the nearest whole dollar and ender a positive number?

Q5: For part d., what is the company's variable cost per unit (rounded to the nearest penny)?

Q6: For part d., what are the company's total fixed costs?

Q7: For part d., what is the company's break-even point (rounded to the nearest whole unit)?

Q8: For part e., what is the projected net income?

Q9: For part f., what is the projected net income?

Q10: For part g., would you recommend either course of action in part e or part f? Briefly explain.

Once you have completed the assignment below, you must submit your answers using the answer sheet provided in Canvas; not all answers will be turned in and not all answers will be graded. Once submitted, your answers cannot be changed, but where appropriate, partial credit will be given. For future reference, you should keep a copy of your answers (outside of Canvas) as they will not be available to view given the nature of the grading process. Sweet Nature Corporation manufactures "Sweet 'n Salty" trail mix. Last month, the company produced and sold 800,000 units and sold them at a price of $4 each. Related information appears below: Item Total Cost Utilities for factory $17,000 Advertising (based on number of website page views) 22,000 Costs for product packaging 125,000 Chocolate pieces and dried fruit 152,800 Wages for factory cleaning staff 275,000 Rent of factory and equipment 350,000 Salaries for office staff 475,000 Wages for production crew 486,000 Insurance on the factory 18,000 Nuts (e.g. peanuts, cashews and almonds) 878,950Reg uired: a. Identify all costs above as either a product cost {specifically 0M. DL or 0H] ora period cost {PG}. b. The company uses the costplus approach to prising and wants to achieve an approximate prot of 25 percent. (3. d. Did it meet its profit objective last month? Briey explain. Regardless. what two specic actions would you recommend to improve its profitability? If the company had only sold 550.000 units last month. what dollar amount would it report for cost of goods sold as well as ending inventory in its nancial statements? Round your final answer for each to the nearest dollar. Identify all costs as either a variable cost {VG} or a xed cost {PC} then calculate the variable cost per unit {rounded to the nearest pennyj assuming 000.000 units were produced and sold as well as the total xed costs. What is the breakeven point {rounded to the nearest whole unit}? Prepare a CUP income statement to answer each scenario below. The scenarios are independent of each other and unless specified othenrvise. use the volume. rounded 'v'C per unit and FD data from part d as well as a price of $4 per unit. e. f. For next month. the company is considering whether it should use a higher quality chocolate in its product line. If so. its costs for chocolate would increase by $0.25 per unit. If the change is made. the company anticipates that unit sales will increase by 5 percent. What is the projected net income under this scenario? Instead. the company is also considering upgrading their production equipment to improve the packaging process and prolong the produ ct's shelf life. If so. its costs for rent on equipment would increase by $40,000 and the ccrnpany anticipates that unit sales will increase by 15.000 units. I|.I'Irlhat is the projected net income under this scenario? Would you recommend either course of action in part e or part i? Briey explain