Absorption and Variable Costing Income Statements During the first month of operations ended July 31, YoSan Inc. manufactured 12,000 flat panel televisions, of which 11,200 were sold. Operating data for the month are summarized as follows: Sales $1,680,000 Manufacturing costs: Direct materials $852,000 Direct labor 252,000 Variable manufacturing cost 216,000 Fixed manufacturing cost 108,000 1,420,000 Selling and administrative expenses: Variable $134,400 Fixed 61,800 196,200 Required: 1. Prepare an income statement based on the absorption costing concept Yosan Inc Absorption Costing Income Statement For the Month Ended July 31 Cost of goods sold vo OJOJ 2. Prepare an income statement based on the variable costing concept. Yosan Inc. Variable Costing Income Statement For the Month Ended July 31 Variable cost of goods sold: LDI Fixed costs a Variable cost of goods sold: ID ID: Fixed costs: 3. Explain the reason for the difference in the amount of income from operations reported in (1) and (). The income from operations reported under costing exceeds the income from operations reported under costing by the difference between the two, due to manufacturing costs that are deferred to a future month under costing