A manufacturer reports the following information for the past three years. Year 1 $ 110,000 Variable costing income Beginning finished goods inventory (units) Ending finished goods inventory (units) Fixed overhead (FOH) per unit Variable costing income Absorption costing income Compute income for each of the three years using absorption costing. Hint: Fixed overhead in inventory equals the FOH per unit x Units in inventory. (Amounts to be deducted should be indicated with a minus sign.) Year 1 1,200 $ 2.50 Year 2 Year 2 $ 114,400 1,200 700 $ 2.50 Year 3 Year 3 $ 118,950 700 800 $ 2.50

A manufacturer reports the following information for the past three years. Compute income for each of the three years using absorption costing. Hint Fixed overhead in inventory equals the FOH per unit Units in inventory. (Amounts to be deducted should be indicated with a minus sign.)