CHAPTER 6 PROBLEM LISA Corporation, which has only one product, has provided the following data for the year Selling price per unit $83 Variable manufacturing cost per unit produced: Direct materials $9 Direct labor $7 Variable manufacturing overhead $3 Fixed manufacturing overhead per year $360,000 Selling and administrative expenses: Variable selling and administrative expense per unit sold $6 Fixed selling and administrative expense per year $77,000 Year 11 Units in beginning inventory 0 10,00 Units produced during the year 0 8,000 2,000 Units sold during the year Units in ending inventory The company produces the same number of units every period, although the sales in units vary from year to year. The company's variable costs per unit and total fixed costs have been constant for several years. Required: a. What is the unit product cost under variable costing? b. What is the contribution margin and net operating income using variable costing? c. What is the unit product cost under absorption costing? d. Without preparing an income statement, determine the absorption costing net operating income for the year if net income under the variable costing method was $30,000. Use the reconciliation method.