The Outdoor Dining Company specializes in producing a set of wood patio furniture consisting of a table and four chairs. The set enjoys great popularity, and the company has ample orders to keep production going at its full capacity of 1,900 sets per year. Annual cost data at full capacity follow: Direct labour Advertising Factory supervision Property taxes, factory building $207,000 $ 40,600 $ 42,400 $ 6,300 Sales commissions $ 49,100 Insurance, factory $ 2,200 Depreciation, administrative office equipment $ 2,600 Lease cost, factory equipment $ 14,900 Indirect materials, factory Depreciation, factory Administrative office supplies Direct materials used (wood, bolts, etc.) Utilities, factory $ 2,100 $ 48,900 $ 27,800 $ 2,800 $ 29,300