Please complete Requirements 1 and 2.

Accelerate Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May 2017 are as follows: E: (Click the icon to view the data.) The selling price per vehicle is $26,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 400 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs. Read the requirements Requirement 1. Prepare April and May 2017 income statements for Accelerate Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2017 income statements for Accelerate Motors under variable costing. Complete the top half of the income statement for each month first, then complete the bottom portion. (Complete all answer boxes. Enter a "0" for any zero balance accounts.) April 2017 7,800,000 May 2017 11,050,000 - X Data table April May Unit data Revenues Variable cost of goods sold: Beginning inventory Variable manufacturing costs Cost of goods available for sale Deduct ending inventory Variable cost of goods sold Variable operating costs Contribution margin 0 100 Beginning inventory Production 400 350 Sales 300 425 Variable costs: $ Manufacturing cost per unit produced Operating (marketing) cost per unit sold 9,000 $ 3,800 9,000 3,800 Fixed costs Requirements Manufacturing costs Operating (marketing) costs $ 2,000,000 $ 2,000,000 650,000 650,000 1. Prepare April and May 2017 income statements for Accelerate Motors under (a) variable costing and (b) absorption costing. 2. Prepare a numerical reconciliation and explanation of the difference between operating income for each month under variable costing and absorption costing Print Done