This section has a nine-part comprehensive problem with multiple questions to address. Download the Chapter 9 Comprehensive Problem Template below to complete all parts. You will need your Bergevin and MacQueen book for reference.

Redlands Inc. reported standard and actual costs for the product that it manufactures:

* Redlands used machine hours to apply factory overhead costs. The company incurred $90 actual total factory overhead costs to make the 12 products.

\begin{tabular}{|l|l|l|} \hline Item & Standard & Actual \\ \hline Direct material price & $3 per lb. & $2 per Ib. \\ \hline Direct materials quantity & 2 lbs. & 4lbs. \\ \hline Direct labor price & $5 & $7 \\ \hline Direct labor quantity & 3 hours & 2 hours \\ \hline Factory overhead cost & $2 per machine & \\ \hline & hour \\ \hline Machine hours per unit & 2 machine & 3 machine \\ \hline & hours & hours \\ \hline Number of finished products made & 10 & 12 \\ \hline Number of finished products sold & 10 & 11 \\ \hline \end{tabular} Sales price per unit $40 $40 1. Standard product cost \begin{tabular}{|l|l|l|l|} \hline \multicolumn{1}{|c|}{ Item } & Price & 2uantity & Total \\ \hline Direct materials & & & \\ \hline Direct labor & & & \\ \hline Factory overhead & & & \\ \hline Standard Cost & & & \\ \hline \end{tabular} 2. Horecast income statement through gross profit \begin{tabular}{|l|l|} \hline Income Statement: & \\ \hline Sales revenue & \\ \hline Cost of goods sold & \\ \hline Gross profit & \\ \hline \end{tabular} 3. Direct Materials Variances \begin{tabular}{|l|l|l|} \hline Actual Price * Actual Quantity & Standard Price * Actual Quantity & Standard Price * Standard Quantity \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Direct materials quantity variance: Direct materials price variance: Direct materials total variance: 4. Direct Labor Variances Direct labor quantity variance: Direct labor price variance: Total direct labor variance: 5. Factory Overhead Variances \begin{tabular}{|l|l|l|} \hline Actual Price * Actual Quantity & Standard Price * Actual Quantity & Standard Price * Standard \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Factory overhead quantity variance: Factory overhead price variance: Total factory overhead variance: 6. Cost of Goods Manufactured \begin{tabular}{|l|l|} \hline Direct materials & \\ \hline Direct labor & \\ \hline Factory overhead & \\ \hline Cost of goods manufactured & \\ \hline \end{tabular} 7. Cost of Goods Sold \begin{tabular}{|l|l|} \hline Beginning inventory & \\ \hline Cost of goods manufactured (per COGM statement) & \\ \hline Goods available for sale & \\ \hline Ending inventory & \\ \hline Cost of goods sold & \\ \hline \end{tabular} 8. Income Statement \begin{tabular}{|l|l|} \hline Sales revenue & \\ \hline Cost of goods sold (per COGS statement) & \\ \hline Gross profit & \\ \hline \end{tabular} 9. Balance Sheet \begin{tabular}{|l|l|} \hline Current assets: & \\ \hline Finished goods inventory & \\ \hline \end{tabular}