Please see attached work document with 4 accounting questions

Question 1 Sterling Corporation reports the following information: 2009 2010 2011 Units sold 20,000 20,000 20,000 Units produced 20,000 24,000 16,000 Fixed production costs $1,200,000 $1,200,000 $1,200,000 Variable production costs per unit $200 $200 $200 Selling price per unit $400 $400 $400 Fixed selling and administrative expenses $400,000 $400,000 $400,000 Calculate the profit each year using variable costing. Explain why profit does not fluctuate from year to year using variable costing. Question 2 Bernie Company makes two products, wheels and pedals, and reports the following information: Direct Labor Hours Per Unit Annual Production Wheels 0.8 10,000 units Pedals 0.4 40,000 units Wheels require $12 per unit in direct material, and pedals require $8 per unit in direct material. The direct labor rate for both products is $12 per hour. Wheels require special processing that pedals do not require. The activity-based costing system used by Bernie reflects the following cost pools identified by the company: Activity Cost Pool Est. Overhead Costs Activity Total Wheels Pedals Number of machine setups $72,000 100 300 400 Machine hours/special processing $200,000 5,000 0 5,000 General overhead (direct labor hours) $816,000 8,000 16,000 24,000 Compute the activity rate for each activity cost pool. What is the unit cost of wheels, and what is the unit cost of pedals? Question 3 Bobo Company produces a single electronic part and incurred the following costs in 2010: Variable costs per unit: Manufacturing: Direct materials $12 Direct labor $18 Manufacturing overhead $ 6 Variable selling/administrative $ 4 Fixed costs for 2010: Manufacturing overhead $600,000 Selling and administrative $200,000 During 2010, Bobo produced 50,000 units and sold 40,000 units. The product is sold for $100 per unit. Prepare an income statement for 2010 using absorption costing. Prepare an income statement for 2010 using variable costing. Question 4 How does variable costing affect the way that management of a business employees the Theory of Constraints