22. On January 1 of the current year, Lang Co. commenced operations. It operated its plant at 100% of capacity during January. The following data summarized the results for January:

Production: Units

Sales ($18 per unit) 50,000

Inventory, January 31 42,000

Total Cost or Expense: 8,000

Manufacturing costs:

Variable 575,000

Fixed 75,000

Total 650,000

Selling and administrative expenses:

Variable 33,600

Fixed 10,500

Total 44,100

1. Prepare an income statement in accordance with absorption costing.
2. Prepare an income statement in accordance with variable costing.