Exercise 06-5 Absorption costing and variable costing income statements LO P2 Rey Company's single product sells at a price of $229 per unit. Data for its single product for its first year of operations follow. $ $ 33 per unit 41 per unit Direct materials Direct labor Overhead costs Variable overhead Fixed overhead per year Selling and administrative expenses Variable Fixed Units produced and sold $ 11 per unit $ 351,000 per year $ 31 per unit $ 226,000 per year 27,000 units 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing. Required 1 Required 2 Prepare an income statement for the year using absorption costing. REY COMPANY Absorption Costing Income Statement Net income (loss) Required 1 Required 2 Prepare an income statement for the year using variable costing. REY COMPANY Variable Costing Income Statement Net income (loss)