Question $5(20$ marks$)$ ABC Pumps is a division of ABC Controls. The division manufactures and sells a pump in a variety of applications. During the coming year, it projects the following sales: $25,000$ units $$17$ per unit The manager is considering producing either this level or $10,000$ units more. The following information is available to help in the decision: $0$ Beginning Inventory $25,000$ Expected Sales in Units $$17\mathrm{.}00$ Expected Sales Price per Unit $$6\mathrm{.}00$ Variable Manufacturing Cost per Unit $$140,000$ Total Fixed Manufacturing Overhead $$5\mathrm{.}60$ Fixed Manufacturing Costs $$4\mathrm{.}00$ Fixed Manufacturing Costs $($Plus $10,000$ Units$)$ $$11\mathrm{.}60$ Total Manufacturing Costs Including Fixed $$10\mathrm{.}00$ Total Manufacturing Costs Including Fixed $($Plus $10,000$ Units$)$ $$37,000$ Selling and Admin Costs $($All Fixed$)$ Instructions Prepare an absorption costing income statement showing results for both levels of production. Why is income different for the two production levels when the sales levels are the same, either way?