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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, 425 bikes were produced and 255 were sold Income statement information under variable costing follows. Sales (255 * $1,750) $ 446,250 Variable cost of goods sold (255 X $625) 159.375 Variable selling and administrative expenses (255 x 565) 16,575 Contribution margin 270,300 Fixed overhead 85.000 Fixed selling and administrative expenses 95,000 Income $ 90,300 Prepare the company's income statement under absorption costing $ HAYEK BIKES Income Statement Absorption Costing) Sales Cost of goods sold Gross profit Selling and administrative expenses Income 446,250 270,300 175 950 95,000 80.950 S