00 Rey Company's only product sells for $220 per unit. Data for its first year of operations follow. 3 points Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Units produced and sold $ 24 per unit $ 32 per unit $ 10 per unit $ 288,000 per year $ 22 per unit $ 208,000 per year 24,000 units 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing. X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the year using absorption costing. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the year using absorption costing. > REY COMPANY Income Statement (Absorption Costing) $ Sales 5,280,000 Cost of goods sold 1,872,000 Gross profit 3,408,000 Selling and administrative expenses 240,000 X $ Income 3,168,000 Required 1 Required 2 > Required 1 Required 2 Prepare an income statement for the year using variable costing. REY COMPANY Income Statement (Variable Costing) Sales $ 5,280,000 X $ 576,000 X 768,000 X 240,000 X Less: Variable expenses Direct materials Direct labor Variable cost of goods sold Gross profit Less: Fixed expenses Fixed selling and administrative expenses Variable selling and administrative expenses XOOXXX 1,584,000 1,872,000 % x 208,000 528,000 X 736,000 $ 2,672,000 Income