Question 1: Below are the selected account balances for Strawberry Sdn Bhd for the year end 31 December 2019: RM Advertising expense 40,000 Direct labour ? Factory cleaning supplies 3,500 Factory maintenance 15,000 Indirect labour 30,000 Insurance for factory 4,000 Purchases of raw materials 145,000 Rent of factory building 60,000 Sales commissions 25,000 Selling and administrative salaries 55,000 Utilities for factory 22,500 Based on the rental agreement, rent for the factory building is RM60,000 per year until 2020. The beginning and year end balances for inventory were as follows: ? Balances as at 1/1/2019 31/12/2019 RM RM Raw materials 20,000 5,000 Work in process ? 17,500 Finished goods 25,000 The total manufacturing costs for the year were RM341,500; the goods available for sale totaled RM370,000; and the cost of goods sold totaled RM330,000. 1.Prepare an extract of the company's income statement for the year showing the following sections: (1) Cost of goods manufactured; and (8 marks) (ii) Cost of goods sold. (5 marks) 1.Compute the average cost per unit for direct materials used and the average cost per unit for rent of the factory building. (i) Assume that 20,000 units were produced during the year. (2 marks) (ii) Assume that 25,000 units were produced during the year. (2 marks) (iii) Provide reasons to explain about the differences in terms of average cost per unit between (i) and (ii) above. (6 marks)