Ansara Company had the following abbreviated income statement for the year ended December 31, 20Y2:

(in millions)
Sales	$23,650
Cost of goods sold	$20,100
Selling, administrative, and other expenses	2,130
Total expenses	$22,230
Income from operations	$1,420

Assume that there were $5,200 million fixed manufacturing costs and $1,180 million fixed selling, administrative, and other costs for the year. The finished goods inventories at the beginning and end of the year from the balance sheet were as follows:

January 1	$2,840 million
December 31	$3,310 million

Assume that 30% of the beginning and ending inventory consists of fixed costs. Assume work in process and materials inventory were unchanged during the period.

a. Prepare an income statement according to the variable costing concept for Ansara Company for 20Y2.

Contribution marginFixed manufacturing costsSalesVariable cost of goods soldVariable selling and administrative expensesSales		$Sales
Variable cost of goods sold:
Beginning inventory	$fill in the blank 644e38fc9054fd2_3
Manufacturing marginSalesVariable cost of goods manufacturedVariable cost of goods soldVariable selling and administrative expensesVariable cost of goods manufactured	Variable cost of goods manufactured
Contribution marginEnding inventoryFixed manufacturing costsManufacturing marginVariable cost of goods manufacturedEnding inventory	Ending inventory
Manufacturing marginSalesTotal variable cost of goods manufacturedTotal variable cost of goods soldTotal variable selling and administrative expensesTotal variable cost of goods sold		Total variable cost of goods sold
Contribution marginFixed manufacturing costsManufacturing marginVariable cost of goods soldVariable selling and administrative expensesManufacturing margin		$Manufacturing margin
Contribution marginFixed factory overheadManufacturing marginVariable cost of goods soldVariable selling and administrative expensesVariable selling and administrative expenses		Variable selling and administrative expenses
Contribution marginFixed selling and administrative expensesManufacturing marginSalesVariable cost of goods manufacturedContribution margin		$Contribution margin
Fixed costs:
Fixed contribution marginFixed manufacturing costsFixed salesVariable cost of goods manufacturedVariable cost of goods soldFixed manufacturing costs	$Fixed manufacturing costs
Fixed selling and administrative expensesFixed manufacturing marginVariable cost of goods manufacturedVariable cost of goods soldVariable selling and administrative expensesFixed selling and administrative expenses	Fixed selling and administrative expenses
Contribution marginIncome from operationsManufacturing marginSalesTotal fixed costsTotal fixed costs		Total fixed costs
Income from operationsLoss from operationsIncome from operations		$Income from operations