Exercise 2) During the year, BrightLight Inc. produced 65,000 units of their specialty lights. The specialty lights sell for $107 each. Beginning inventory of the specialty lights was 6,565. At the end of the year a physical inventory count revealed that only 5,656 remained. The cost accountant at BrightLight Inc. determined the following variable costs for the production of the specialty lights (costs are per unit): Direct Materials Direct Labor Variable Overhead Variable Selling& Admin. $23.75 $14.05 S 4.20 S 8.00 The cost accountant also informed you that the company incurred total fixed overhead in the amount of $991,250 and total fixed selling and administrative costs of $291,000 during the year. Required a) Prepare an Income Statement using absorption costing. b) Calculate the cost of ending inventory under absorption costing. c) Prepare an Income Statement using variable costing. d) Calculate the cost of ending inventory under variable costing