Absorption and Variable Costing Income Statements During the first month of operations ended July 31, YoSan Inc. manufactured 10,800 flat panel televisions, of which 10,200 were sold. Operating data for the month are summarized as follows: $1,224,000 Sales Manufacturing costs: Direct materials Direct labor Variable manufacturing cost Fixed manufacturing cost Selling and administrative expenses: Variable Fixed Required: $604,800 183,600 151,200 75,600 1,015,200 $102,000 46,900 148,900 1. Prepare an income statement based on the absorption costing concept. YoSan Inc. Absorption Costing Income Statement For the Month Ended July 31 Sales Cost of goods sold: Cost of goods manufactured Inventory, July 31 Total cost of goods sold Gross profit Selling and administrative expenses Income from operations Feedback 2. Prepare an income statement based on the variable costing concept. YoSan Inc. Variable Costing Income Statement For the Month Ended July 31 Sales Variable cost of goods sold: Variable cost of goods manufactured Inventory, July 31 Total variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Fixed costs: Ficed manufacturing costs Ficed selling and administrative expenses Total fixed costs Income from operations