W. W. Phillips Company produced 4,000 leather recliners during the year. These recliners sell for $400 each. Phillips had 500 recliners in finished goods inventory at the beginning of the year. At the end of the year, there were 700 recliners in finished goods inventory. Phillips' accounting records provide the following information: Purchases of raw materials $320,00 Salary, sales supervisor $90,000 0 Beginning materials inventory $46,800 Commissions, $180,000 salespersons Ending materials inventory $66,800 General administration $300,000 Direct labor $200,00 Beginning work-in- $13,040 0 process inventory Indirect labor $40,000 Ending work-in-process $14,940 inventory Rent, factory building $42,000 Beginning finished goods $80,000 inventory Depreciation, factory $60,000 Ending finished goods $114,100 equipment inventory Utilities, factory $11,900 REQUIRED: 1. Prepare a statement of cost of goods manufactured. 2. Compute the average cost of producing one unit of product in the year. 3. Prepare an income statement for external users