FINANCE Finance Review the requirements for the Portfolio Project. For your selected product, begin your estimate of

Review the requirements for the Portfolio Project. For your selected product, begin your estimate ofcost for that item. Submit the following information to your instructor. This submission is worth 25points toward your Portfolio Project, which is completed in Module 8.Submit the following:1.2.Forecast the variable cost per unit.Forecast manufacturing costs and selling and administrative expenses as eithervariable or fixed.Choose an item that you would like to manufacture. You do not actually need to manufacturesomething, but will proceed through the assignment as if you were planning on manufacturing theitem you have selected. The product should require materials and labor and be something that youare familiar with in process from start to finish. The product must be useful and marketable. You canchoose something as simple as making chocolate chip cookies, a type of craft, or something morecomplicated. Consider production as if you were making the product from beginning to end, and not asif using a kit.Perform the following steps:1. Choose a product to manufacture and describe the manufacturing process.2. Prepare the following budgets for 1 quarter, broken down monthly, regarding yourchosen item:estimated sales budgetestimated direct materials budgetestimated direct labors budgetestimated manufacturing overhead budgetestimated selling and administrative expensesestimated income statement.3. Classify all manufacturing costs and selling and administrative expenses as eithervariable or fixed.4. Prepare a contribution margin income statement separating all variable and fixed costsinto their own categories.5. Determine the breakeven point in units and dollars. Also determine the number ofunits and dollars that need to be sold to make a target profit of $5,000 a month.6. Identify what types of trends you should be aware of in the industry and who theprimary competitors are.7. Answer the following question: If you had to improve the bottom line, what would youdo and what concerns would you have going forward?8. Choose a piece of equipment that you might consider purchasing to increaseproduction of your item and address the following questions: What types of capitalbudgeting factors would you look at when deciding whether to do this? What would bethe relevant costs that you would consider in this decision?Your final project should be in the form of a paper, using Microsoft Word, that addresses each of thesedifferent areas. Steps #1, 6, 7 and 8 will be in paragraph form and Steps #2, 3, 4 and 5 will involvenumerical calculations that should be put into the form of a table in proper format and included as partof the paper. You should show any calculations in a table within Word. Your paper should be 3-6double-spaced pages (body of the paper) and follow the CSU-Global Guide to Writing and APARequirements.Be sure to review the Portfolio Project grading rubric, which may be accessed through the CourseInformation page.