not sure how to set this up please answer number 1,2,3

a The Business Situation Armstrong Helmet Company manufactures a unique model of bicycle helmet. The company began operations December 1, 2013. Its accountant quit the second week of operations, and the company is searching for a replacement. The com- pany has decided to test the knowledge and ability of all candidates interviewing for the position. Each candidate will be provided with the information below and then asked to prepare a series of reports, schedules, budgets, and recommenda- tions based on that information. The information provided to each candidate is as follows. Cost Items and Account Balances Administrative salaries $15,500 Advertising for helmets 11,000 Cash, December 1 Depreciation on factory building 1,500 Depreciation on office equipment Insurance on factory building 1,500 Miscellaneous expenses--factory 1,000 Office supplies expense Professional fees 500 Property taxes on factory building Raw materials used 70,000 Rent on production equipment 6,000 Research and development 10,000 Sales commissions Utility costs---factory Wages-factory 70,000 Work in process, December 1 Work in process, December 31 Raw materials inventory, December 1 Raw materials inventory, December 31 800 300 400 40,000 900 -0 0 0 Raw material purchases Finished goods inventory, December 1 70,000 0- CA-28 ARMSTRONG HELMET case 7 Cases for Management Decision-Making COMPANY Production and Sales Data Number of helmets produced 10,000 Expected sales in units for December ($40 unit sales price 8,000 Expected sales in units for January 10,000 Desired ending inventory 2096 of next month's so Direct materials per finished unit kilogram Direct materials cost $7 per kilogram Direct labor hours per unit 35 Direct labor hourly rate S20 Cashow Data + Case 7 Assignment Template-EX nents/86204?return_to=https%3A%2F%2Facuonline, instructure.com%2Fcalendar%23view_name%3Dmont Page of 3 Direct labor hourly rate $20 Cash Flow Data Cash collections from customers 75% in month of sale and 25% the following month. Cash payments to suppliers: 75% in month of purchase and 25% the following month. Income tax rate: 45%. Cost of proposed production equipment: $720,000 Manufacturing overhead and selling and administrative costs are paid as incurred. Desired ending cash balance: $30,000 Instructions Using the data presented above (including data on page CA-27), do the following. 1. Classify the costs as either product costs or period costs using a five-column table as shown below. Enter the dollar amount of each cost in the appropriate column and total each classification Product Costs Direct Direct Manufacturing Item Materials Labor Overhead Period Costs 2. Classify the costs as either variable or fixed costs. Assume there are no mixed costs Enter the dollar amount of each cost in the appropriate column and total each classifi- cation. Use the format shown below. Assume that Utility costs-factory are a fixed cost. Variable Fixed Total Item Costs 3. Prepare a schedule of cost of goods manufactured for the month of December 2013 Costs Costs