4.

Analyzing Income under Absorption and Variable Costing

Variable manufacturing costs are $126 per unit, and fixed manufacturing costs are $157,500. Sales are estimated to be 10,000 units.

If an amount is zero, enter "0".

a. How much would absorption costing income from operations differ between a plan to produce 10,000 units and a plan to produce 15,000 units? $

b. How much would variable costing income from operations differ between the two production plans? $