Same problem, different section. Can you please break down the solution.

Problem 8-35 Variable-Costing and Absorption-Costing Income Statements (LO 8-2, 8-3, 8-4, 8-6) Great Outdoze Company manufactures sleeping bags, which sell for $65.40 each. The variable costs of production are as follow Direct material Direct labor Variable manufacturing overhead $18.20 10.70 6.40 Budgeted fixed overhead in 20x1 was $163,800 and budgeted production was 26,000 sleeping bags. The year's actual product was 26,000 units, of which 23,900 were sold. Variable selling and administrative costs were $1.20 per unit sold; fixed selling and administrative costs were $24,000. Required: 1. Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. 2-a. Prepare an operating income statement for the year using absorption costing. 2-b. Prepare an operating income statement for the year using variable costing. 3. Reconcile reported operating income under the two methods using the shortcut method. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 3 Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Product Cost Per Unit Absorption costing Variable costing Great Outdoze Company manufactures sleeping bags, which sell for $65.40 each. The variable costs of production are as follows: Direct material Direct labor Variable manufacturing overhead $18.20 10.70 6.40 Budgeted fixed overhead in 20x1 was $163,800 and budgeted production was 26,000 sleeping bags. The year's actual production was 26,000 units, of which 23,900 were sold. Variable selling and administrative costs were $1.20 per unit sold; fixed selling and administrative costs were $24,000. Required: 1. Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. 2-a. Prepare an operating income statement for the year using absorption costing. 2-b. Prepare an operating income statement for the year using variable costing. 3. Reconcile reported operating income under the two methods using the shortcut method. Complete question by entering your answers tabs below. Req 1 Req 2A Req 2B Reg 3 Prepare an operating income statement for the year using absorption costing. (Do not round intermediate calculations.) GREAT OUTDOZE, INC. Operating Income Statement For the Year Ended December 31, 20x1 Absorption Costing Selling and Administrative Expenses Great Outdoze Company manufactures sleeping bags, which sell for $65.40 each. The variable costs of production are as follows: Direct material Direct labor Variable manufacturing overhead $18.20 10.70 6.40 Budgeted fixed overhead in 20x1 was $163,800 and budgeted production was 26,000 sleeping bags. The year's actual production was 26,000 units, of which 23,900 were sold. Variable selling and administrative costs were $1.20 per unit sold; fixed selling and administrative costs were $24,000. Required: 1. Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. 2-a. Prepare an operating income statement for the year using absorption costing. 2-b. Prepare an operating income statement for the year using variable costing. 3. Reconcile reported operating income under the two methods using the shortcut method. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Req 2B Reg 3 Prepare an operating income statement for the year using variable costing. (Do not round intermediate calculations.) GREAT OUTDOZE, INC. Operating Income Statement For the Year Ended December 31, 20x1 Variable Costing Variable expenses: Fixed expenses Great Outdoze Company manufactures sleeping bags, which sell for $65.40 each. The variable costs of production are as follows: Direct material Direct labor Variable manufacturing overhead $18.20 10.70 6.40 Budgeted fixed overhead in 20x1 was $163,800 and budgeted production was 26,000 sleeping bags. The year's actual production was 26,000 units, of which 23,900 were sold. Variable selling and administrative costs were $1.20 per unit sold; fixed selling and administrative costs were $24,000. Required: 1. Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. 2-a. Prepare an operating income statement for the year using absorption costing. 2-b. Prepare an operating income statement for the year using variable costing. 3. Reconcile reported operating income under the two methods using the shortcut method. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Reg 2B Req 3 Reconcile reported operating income under the two methods using the shortcut method. (Round your predetermined fixed overhead rate to 2 decimal places.) Change in inventory (in units) Predetermined fixed overhead rate = Absorption-costing income minus variable-costing income unit increase X