6 Tami's Creations, Inc Income Statement For the Quarter Ended March 3 Sales (28,150 units) Variable expenses Variable cost of goods sold Variable selling and administrative $1,126,06e 3.35 $436,325 oints 192,828629 152 Contribution margin Fixed expenses: Fixed manufacturing overhead Fixed selling and administrative Net operating loss 496, 848 eBook 265, 280 251,648516 848 s( 28,80e) Print Ms. Tyler is discouraged over the loss shown for the quarter. particularty because she had planned to use the statement as support for Refterencesa bank loan Another friend, a CPA, insists that the company should be using absorption costing rather than variable costing and argues that if absorption costing had been used the company probably would have reported at least some proft for the quarter a swimsuit Production and cost data relating to the swimsuit for the first At this point, Ms. Tyler is manufacturing only one product quarter follow 13,150 28,150 Units produced Units sold Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead180 Variable selling and administrative $7.30 $6.40 s 6.85 Required: 1. Complete the following a Compute the unit product cost under absorption costing b What is the company's absorption costing net operating income (oss) for the Reconcile the variable and absorption costing net operating income a During the sicond quarter of operations, the company again produced 33,150 units but sold 38,150 units. (Assume no c total fixed costs) (oss) igures pany's vansabile costing net operating ncome (oss) for the second quarter? Wat b. What w, the company's absorption costing net operating income (oss! for the second quarter? e vanable costing and absorption costing net operating incomes for the second quarter