Please do not copy the answer from the previous question, read the requirement. The Jarvis company sells its razors at $6 per unit.The company incurs fixed manufacturing overhead cost of $650,000 each year to support production of 1,300,000 so that the fixed manufacturing overhead cost per unit equals 0.50. The following data are related to its first 2 years of operation, all numbers are in thousands:

2012 2013

sales 1,100 units 1,200 units

production 1,300 units 1,100 units

cost

variable manufacturing $650 $550

fixed manufacturing 650 650

variable operating(marketing) 1,100 1,200

fixed operating marketing 700 700

requirement: prepare income statements based on (obsorption costing for each 2 years).

begin with the account labels for an absorption costing income statement, then enter 2012 information, finally enter the 2013 information.

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Deduct ______________________

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operating income