Absorpbon and Vanable Costing Income Statements During the first month of operations ended July 31, YoSan Inc. manufactured 2,400 flat panel televisions, of which 2,000 were sold. Operating data for the month are summarized as follows: Sales Manufacturing costs: $2,150,000 Direct materials $960,000 Direct labor 420,000 Variable manufacturing cost 156,000 Fixed manufacturing cost Selling and administrative expenses: 288,000 1,824,000 Variable Fixed $204,000 96,000 300,000 Required: 1. Prepare an income statement based on the absorption costing concept. YoSan Inc. Absorption Costing Income Statement For the Month Ended July 31 Sales - Cost of goods sold: Cost of goods manufactured Feedback 2.150,000 Check My Work 1. Sales - (cost of goods manufactured-ending inventory") = Gross profit; gross profit-selling and administrative expenses = operating income *(Manufactured Units - Sold units) x (total manufacturing costs/manufactured units) 2. Prepare an income statement based on the variable costing concept. YoSan Inc. Variable Costing Income Statement For the Month Ended July 31 Sales Variable cost of goods sold: 2,150,000