Requirement 1. Calculate expected gross margin if Jamie produces 27,000, 29,700, or 35,100 books. (Make sure you include the production-volume variance as part of cost of goods sold.) Calculate the gross margin for each level of production. Begin with 27,000 books, then 29,700 books, and lastly 35,100 books. (Enter a "0" for any zero balance accounts. If an account does not have a variance, do not select a label.) Revenues Cost of goods sold Production-volume variance Net cost of goods sold Gross margin Beginning inventory Production 27,000 books $2,295,000 2,106,000 Sales Ending inventory Cost per book Cost of ending inventory 2,106,000 $ 189,000 books 29,700 books $2,295,000 books 2,106,000 67,500 F 2,038,500 $ 256,500 35,100 books $ 2,295,000 Requirement 2. Calculate ending inventory in units and in dollars for each production lev balance, make sure to enter "0" in the appropriate cell.) 27,000 books 2,106,000 202,500 F 1,903,500 $ 391,500 More info Estimated sales Beginning inventory Average selling price Variable production costs $675,000 per semester Fixed production costs The fixed-cost allocation rate is based on expected sales and is therefore equal to $675,000/27,000 books = $25 per book. 27,000 books 0 books $85 per book $53 per book Print Done