$2.$ The following information is available for Trailblazer, a manufacturer of four$-$wheel all$-$

terrain vehicles:

$20172018$

Vehicles produced $20,00016,000$

Vehicles sold $18,00018,000$

Selling price per unit $$8,000$ $$8,000$

Direct material per unit $$1,600$ $$1,600$

Direct labor per unit $$3,000$ $$3,000$

Variable manufacturing overhead per unit $$600$ $$600$

Fixed manufacturing overhead per year $$4,800,000$ $$4,800,000$

Fixed selling and administrative expense per year $$3,000,000$ $$3,000,000$

Beginning inventory contained zero units. In the company$$s second year, the company

needed to get rid of excess inventory $($the extra units produced but not sold in $2017),$ so

it cut back production to $16,000$ units.

a$.$ Calculate profit for both years using variable costing.

b$.$ How much is reported as ending inventory when using variable costing for each Year?