Selected account balances for the year ended December 31 are provided below for Superior Company: Selling and administrative saleares . . . . . . . . . .$110,000 Purchases of raw materials . . . . . . . . . . . .. .. $290,000 Direct labor . . . . . . . . . . .. . . . . . . .. . . . . .$ ? Advertising expense . . . . . . . . . . .. . . . . . .. . $80,000 Manufacturing overhead . . . . . . . . . . . . . .. ... .$270,000 Sales Commissions . . . . . . . . . . . . . . . . . . .. . . $50,000 Inventory balances at the beginning and end of the year were as follows: Begining of End of Year the year the year Raw materials $40,000 $10,000 Work in Process ? $35,000 Finished goods $50,000 ? The toatl manufacutring costs for the year were $683,000; the goods available for sale totaled $740,000; and the cost of goods sold totaled $660,000/ Required: 1. Prepare a schedule of cost of goods manufactured and the cost of goods sold section of the copany's income statement for the year. 2. Assume that the dollar amounts given above are for the equavalent of 40,000 units produced during the year. Compute the average cost per unit for direct materials used and the average cost per unit for manufacturing overhead. 3. Assume thqat the following year the company ecpects to produce 50,000 untis and maufacturing overhead is fixed. What average cost per unit and total cost would you expect to be inccured for direct materlas: For manufacutinf overhead: (Assume that direct materials is a varable cost.) 4. As the manager in charge of productio ncosts, explain to the president the reason for any difference in average cost per unit between (2) and (3) above