$|$Additional Information

a$.$ Sales and production data for these first two years follow.

b$.$ Varlable costs per unlt and fixed costs per year are unchanged during these years. The company's $$40$ per unlt product cost

using absorption costing consists of the following.

c$.$ Selling and administratlve expenses consist of the following.

Requlred:

Prepare income statements for each of these two years under varlable costing.

Note: Loss amounts should be entered with a minus sign.