Using the data below please do the following in an Excel spreadsheet and e-mail it directly to me. 1. Prepare an income statement using variable costing (25 points) 2. Compute the unit product cost under both absorption and variable costing (10 points) 3. If net income under absorption costing equals $210,000, prepare a report reconciling the difference in net operating income between absorption and variable costing for the year (5 points) Units in beginning inventory 0 Units produced 12,000 Units sold 11,250 Selling price per unit $90 Variable costs per unit: Direct materials $20 Direct labor $10 Variable manufacturing overhead $8 Variable selling and administrative $5 Fixed costs in total: Fixed manufacturing overhead $180,000 Fixed selling and administrative $150,000
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