please answer 1 and 2 clearly and not in excel will be good if its solved written.

13-A3 Comparison of Variable Costing and Absorption Costing Consider the following information pertaining to a ycar's opcration of Blair Company: Units produced Units sold Direct labor Direct materials used Selling and administrative expenses (all fixed) Fixed manufacturing overhead Variable manufacturing overhead All beginning inventories Gross margin (gross profit) Direct-materials inventory, end Work-in-process inventory, end 2,500 2,100 $4,000 $3.000 $ 900 $5,000 $2,500 $2.200 s 400 1. What is the ending finished-goods inventory cost under variable costing? 2. What is the ending finished-goods inventory cost under ahsorption conting? ould operating income be higher or lower under variablestng? By how much? Why? (Answer: $800 lower, but explain why.)