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Thornton Manufacturing Company was started on January 1, 2018,when it acquired $86,000 cash by issuing common stock. Thorntonimmediately purchased office furniture and manufacturing equipmentcosting $7,700 and $35,500, respectively. The office furniture hadan 8-year useful life and a zero salvage value. The manufacturingequipment had a $3,500 salvage value and an expected useful life offour years. The company paid $11,900 for salaries of administrativepersonnel and $15,100 for wages to production personnel. Finally,the company paid $10,010 for raw materials that were used to makeinventory. All inventory was started and completed during the year.Thornton completed production on 4,300 units of product and sold3,340 units at a price of $14 each in 2018. (Assume that alltransactions are cash transactions and that product costs arecomputed in accordance with GAAP.)

Required

1. Determine the total product cost and the average cost per unitof the inventory produced in 2018. (Round "Average cost perunit" to 2 decimal places.)

2. Determine the amount of cost of goods sold that wouldappear on the 2018 income statement. (Do not roundintermediate calculations.)

3. Determine the amount of the ending inventory balancethat would appear on the December 31, 2018, balance sheet.(Do not round intermediate calculations.)

4. Determine the amount of net income that wouldappear on the 2018 income statement.

5. Determine the amount of retained earnings thatwould appear on the December 31, 2018, balancesheet.

6. Determine the amount of total assets that wouldappear on the December 31, 2018, balancesheet.