2 Whitman Company has just completed its first year of operations. The company's absorption costing income statement for the year follows: points Income Statement $1,684,080 960,808 724,800 Sales (40,000 units $42.10 per unit) Cost of goods sold (40,000 units x $24 per unit) Gross margin Selling and administrative expenses Net operating income 500,000 s 224,000 Book The company's selling and administrative expenses consist of $300.000 per year in fixed expenses and $ expenses. The $24 unit product cost given above is computed as follows: Pird s12 Direct materials Direct labor Variable manufacturing overhead encesFixed manufacturing overhead ($275,e00 +55,000 References units) Absorption costing unit product cost S24 Required: 1, Redo the company's income statement in the contribution format using variable costing 2 Reconcile any difterence between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement above Variable Costing Income Statement