Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced 7,550 rackets and sold 5,680. Each racket was sold at a price of $90. Fixed overhead costs are $98,150 per year, and fixed selling and administrative costs are $68.400 per year. The company also reports the following per unit variable costs for the year. Direct materials Direct labor Variable overhead Variable selling and administrative expenses $ 12 8 Prepare an income statement under absorption costing. Sales ACES INCORPORATED Income Statement (Absorption Costing) Cost of goods sold Gross profit Selling and administrative expenses Income S 0