Absorption and variable costing income statements Instructions Labels and Amount Descriptions Absorption Costing Income Statement Instructions During the first month of operations ended August 31, Kodiak Fridgeration Company maractured 46.000 milions of which 40,000 were sold Operating data for the month are summarized as follows: 1 Sales 58,800,000.00 Manufacturing costs 545000000 Direct labor 119600000 Variable manufacturing cost 78200000 Fored manufacturing cost 59000000 6.026.000.00 Selling and administrative expenses: SOODOO 30 000 920.500.00 Required 1. Prepare an income based on the topics 2. Prepare an income statement based on the variable con concept 3. Explain the reason for the difference in the amount of operating income reported in () and (2) OW N Calculator Absorption Costing Income Statement 1. Prepare an income statement based on the absorption costing concept. Be sure to complete the statement heading. Refer to the ist of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. A colon () will automatically appear if it is required. Enter amounts as posive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative Kodiak Fridgeration Company Absorption Costing Income Statement Label) 2 Label Variable Costing Income Statement 2. Prepare an income statement based on the variable costing concept. Be sure to complete the statement heading. Refer to the list of Label and Amount Descriptions provided for the exact wording of the answer choices for text entries. A colon () will automatically appear if it is required. Enter amounts as positive numbers unless the amount is a calculafion that results in a negative amount. For example: Netloss should be negative. Kodiak Fridgeration Company Variable Costing Income Statement Show Me How Calculator Absorption and variable costing income statements Instructions Labels and Amount Descriptions Absorption Costing Income Statement Variable Costing Income Statement Final Question 3. Explain the reason for the difference in the amount of operating income reported in (1) and (2) costing, due to manufacturing costs The Operating income reported under that are deferred to a future month under costing exceeds the Operating income reported under costing