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3 Exercise 19-6 Absorption costing income statement LO P2 Hayek Bikes prepares the income statement under variable costing for its managerial reports, and it prepares the income statement under absorption costing for external reporting. For its first month of operations, 325 bikes were produced and 215 were sold; this left 110 bikes in ending inventory. The income statement information under variable costing follows. Sales (215 $1,775) Book Variable product cost (215 $700) $381,625 150,500 13,975 Variable selling and administrative expenses (215945) Contribution margin 217,150 Fixed overhead coat 61,750 Tixed selling and administrative expense $5,000 $10,400 Net Locome 1. Prepare this company's income statement for its first month of operations under absorption costing. 2. Fill in the blanks: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the current year under absorption costing KENZI KAYAKING Absorption Costing Income Statement 25 points 10 3 25 H Required 1 Required 2 Prepare an income statement for the current year under absorption costing. KENZI KAYAKING Absorption Costing Income Statement Net income (los) Fixed costs added to inventory Required 2 > 3 Exercise 19-6 Absorption costing income statement LO P2 Hayek Bikes prepares the income statement under variable costing for its managerial reports, and it prepares the income statement under absorption costing for external reporting. For its first month of operations, 325 bikes were produced and 215 were sold; this left 110 bikes in ending inventory. The income statement information under variable costing follows. Sales (215 $1,775) $381,625 150,500 Book Variable product cost (215 $700) Variable selling and administrative expenses (215565) 13,975 Contribution margin 237,150 Fixed overhead cont 41,750 H Fixed selling and administrative expense $5,000 Net Incone $70,400 1. Prepare this company's income statement for its first month of operations under absorption costing. 2. Fill in the blanks: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Fill in the blanks: The dotar difference in variable costing income and absorption costing income units