The Top Company uses a standard costing system and produces custom made plastic toys using the following inputs and actual data: Input Standard Input Standard Cost of ACTUAL Cost to ACTUAL Quantity Used to per Toy Input Produce 175,000 Toys Produce 175,000 Toys Plastic 178g $0.07fgram $2,200,000 32,000,000 grams Direct Labour 0.1 5 hours $14.00/hour Required: 1. What is the standard cost of one toy? 2. Calculate the Material PRICE variance using actual production numbers given above and label whether it is FAVOURABLE or UNFAVOURABLE. 3. Calculate the Material QUANTITY variance using actual production numbers given above and label whether it is FAVOURABLE or UNFAVOURABLE. 4. Should only unfavourable variances be investigated WHY or WHY NOT? 1.This Company produces and sells a recycled plastic product that is used for building residential backyard decks. The operating costs for the past \\ year were as follows: Variable costs per unit: Direct Materials $5.60 Direct Labour $3.20 Variable Overhead $0.70 Variable Selling $0.52 Fixed costs per year: Fixed Overhead $360,000 Selling and $210,000 Administrative Unit fixed cost is based on production During the year, the company produced 600,000 boards and sold 635,000 at $12.50 each. The company had 45,000 boards In beginning finished, goods inventory; costs have not changed from last year to this year. 1.Assuming the company must adhere to GAAP (Generally Accepted Accounting Principles) what is the cost per unit reported on the Balance Sheet? 2.What is the total dollar value in ending finished goods inventory (based on part a above). 3.Prepare a variable-costing income statement