Prepare the income statement under variable costing for the first 2 years: 2020 2021 The income statements for Skilling, Inc. for external financial reporting for the 2 first 2 years of operation are: 2020 2021 Sales $ 384,000 $ 576,000 COGS 204,000 306,000 Gross margin 180,000 270,000 Selling & Admin expenses DO 94,000 Net income $ 104,000 $ 176,000 Other data: units produced units sold 15,000 12,000 15,000 18,000 2 2 Direct material cost per unit Direct labor cost per unit Variable overhead cost per unit 4 4 5 5 Reconcile the difference between net income under variable costing and absorption costing Fixed overhead Variable selling and admin expenses Fixed selling and admin expenses 90,000 36,000 40,000 90,000 54,000 40,000 Net income under variable costing Fixed OH in beginning inventory Fixed OH in ending inventory Net income under absorption costing Beginning inventory Ending inventory Fixed OH per unit