A Company manufactures a professional grade vacuum cleaner. For 2019, the company had no price, spending, or efficiency variances, and writes off production-volume variance to cost of goods sold. Actual data for 2019 are given as follows:

Units produced 20,000

Units sold 19,000

Selling price P300

Variable costs:

Materials P40

Manufacturing labor 30

Manufacturing overhead 55

Marketing 40

Fixed costs:

Manufacturing P900,000

Selling and Administrative 750,000

REQUIRED:

1. The inventoriable unit cost for internal reporting purposes under variable costing.

2. The inventoriable unit cost for external reporting purposes under absorption costing.

3. Operating income for 2019 under variable costing.

4. Operating income for 2019 under absorption costing.