Q#3 ( 06 marks )HASF Corporation began operations at the beginning of the current year. one of the year company product a compressor sells for 370 per unit's information related to the current year activities follows

Variable cost per unit

Direct material 40

Direct labor 74

Manufacturing overhead 96

Annual fixed cost

Manufacturing cost 1,200,000

Selling and administrative 1,720,000

Sales and production

Sales in units 20,000

Production 24,000

Required -

Cost of the December 31 finished goods inventory

Net income for the current year Dec 31

If next year production decrease to 22,500 units and general cost behavior patterns do not change what is the likely effect on

The direct labor cost of 74 per units? why?

The fixed manufacturing overhead of 1,200,000?why?

The fixed selling and administrative cost of1,7200,000?why?

Per unit cost production why?