Prepare an income statement using the absorption costing method

Question 3 (20 marks) (A) The following data pertain to last year's operations at Clarkson, Incorporated, a company that produces a single product: Units in beginning inventory Units produced.100,000 Units sold Selling price per unit.... 98,000 $10.00 Variable costs per unit: Direct materials.... Direct labour Variable manufacturing overhead . Variable selling and administrative$200 $2.50 $1.00 Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative $200.000 ,-- $50,000