absorbtion and variable costing

$96 6 Selling price per unit Manufacturing costs: 9 Variable manufacturing cost per unit produced: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead per year Selling and administrative expenses: 15 Variable selling and administrative expense per unit sold 16 Fixed selling and administrative expense per year 11 12 480,000 68,000 Year 1 19 20 21 22 Units in beginning inventory Units produced during the year Units sold during the year Units in ending inventory 12.000 9.000 3,000 Year 2 3,000 15,000 15.000 3,000 24 Complete (a) through 25 26 (a) Assume the company uses absorption costing. Compute the unit product cost in each year 5 (a). Assume the company uses absorption costing. Compute the unit product cost in each year. co Year 1 Year 2 37 (b). Assume the company uses absorption costing. Prepare an income statement for each year. Year 1 Year 2 47 48 c. Assume the company uses variable costing. Compute the unit product cost in each year Year 1 Year 2 60 d. Assume the company uses variable costing Prepare an income statement for each year. Year 1 Year 2 74 e. Prepare a report in good form reconciling the variable costing and absorption costing net incomes Year 1 Year 2 Year 1 Year 2