Breakeven under variable and absorption costing (continuation of 9-28). REQUIRED 1. Compute the breakeven point in units under variable costing. 2. Compute the breakeven point in units under absorption costing. 3. Suppose that production were exactly equal to the denominator level, but no units were sold. Fixed manufacturing costs are unaffected. Assume, however, that all mar- keting and administrative costs were avoided. Compute operating income under

(a) variable costing and

(b) absorption costing. Explain the difference between your answers.

LO1