The following information pertains to the most recent quarter at Precious Production Limited.

Purchases of raw materials	$	382,500
Raw materials inventory, beginning		46,000
Raw materials inventory, ending		75,500
Depreciation, factory		205,500
Insurance, factory		21,500
Direct labour		250,500
Maintenance, factory		126,000
Administrative expenses		292,000
Sales		2,160,000
Utilities, factory		115,500
Supplies, factory		4,150
Selling expenses		333,500
Indirect labour		270,500
Work in process inventory, beginning		28,750
Work in process inventory, ending		123,000
Finished goods inventory, beginning		42,250
Finished goods inventory, ending		169,000

Required:

1. Prepare a schedule of cost of goods manufactured.

2. Prepare an income statement.

3. Assume that the company produced the equivalent of 14,000 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.)

4. Assume that the company expects to produce 16,000 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.)

5. Not available in Connect.

6. Assuming the company produced 22,000 fully and partially finished units during the year, determine the cost components of the finished goods inventory, which is composed of 4,400 finished units.