6 Safari File Edit View History Bookmarks Wigwmgi @, as aw... Sat 5:27PM Q 0 =_ E\" i ii vi i eztomheducationcom C L" V ' ' 5'\" V ' Scree E Week 6 Exercises 0 Saved Help Save G Exit Submit 2021-10tt.4F Exercise 8-24 Difference in Operating Income under Absorption and Variable Costing (LO 8-1, 8-4) 8.33 Bianca Bicycle Company manufactures mountain bikes with a variable cost of $1,300. The bicycles sell for $2,050 each. Budgeted points xed manufacturing overhead for the most recent year was $11,300,000. Planned and actual production for the year were the same. Required: eBook State whether operating income is higher under variable or absorption costing and the amount of the difference in reported operating Income under the two methods. Treat each condition as an Independent case. (Round Intermediate calculations to 2 decimal places.) Print Mame; 1. Production 22,300 units Sales 25,600 units 2. Production 11,200 units Sales 11,200 units 3. Production 11,450 units Sales 9,950 units