Return to ques 9 Diaz Company reports the following variable costing income statement for its single product. This company's sales totaled 58,000 units, but its production was 88,000 units. It had no beginning finished goods inventory for the current period. Diaz COMPANY Income Statenent (Variable Costing) Sales (58,000 units $68.00 per unit) Variable expenses Variable manufacturing expense (58.000 units $28.80 per unit) Variable selling and admin. expense (58,0ee units $5.80 per unit) Total variable expenses Contribution margin Fixed expenses ,944,eee 1,670,400 336,400 2,e06,808 1,937,200 Fixed overhead Fixed selling and adninistrative expense Total fixed expenses 422,400 211,200 633,600 Net income $1,303,600 9 DIAZ COMPANY Absorption Costing Income Statement S Sales 3,944,000 Less: Cost of goods sold Variable manufacturing costs 1,670,400 Fixed overhead costs 1,038,000 Cost of goods sold 2,708,400 Gross margin 1,235,600 Selling general and administrative expenses Fixed selling and administrative costs Variable selling and administrative expenses 211,200 336,400 Total fixed expenses 547,600 Net income (loss) $ 688,000 x)