Aces Inc., a manufacturer of tennis rackets, began operations this year. The company produced 5,700 rackets and sold 4,600. Each racket was sold at a price of $87. Fixed overhead costs are $72,390, and fixed selling and administrative costs are $64,900. The company also reports the following per unit costs for the year:

Variable production costs	$	24.70
Variable selling and administrative expenses	$	1.70

Required: Prepare an income statement under absorption costing.