The following data was prepared by the Waco Wagon Company.

Required
a. Under absorption costing, what is the unit product cost?
b. Under variable costing, what is the unit product cost?
c. Under absorption costing, what is the cost of goods sold?
d. Under variable costing, what is the cost of goods sold?
e. Under absorption costing, what is the operating income?
f. Under variable costing, what is the operating income?
g. Reconcile the difference in operating income under absorption costing versus variablecosting.

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Total $20/unit $90,000 $99,000 $90,000 9,000 $81,000 ariable Fixed Sales price Direct materials used Direct labor Manufacturing overhead Selling and administrative expense $23,000 $14,000 Units manufactured Beginning Finished Goods Inventory 20,000 units Ending Finished Goods Inventory 24,000 units 9,000 18,000 units