Answer following four (4) problems. 1) Identify the treatment of each of the following costs under variable costing and absorption costing: Variable Costing Product Period Cost Cost Absorption Costing Product Period Cost Cost 1. Direct materials 2. Direct labor 3. Variable manufacturing overhead 4. Fixed manufacturing overhead 5. Variable selling 6. Fixed selling 7. Variable administrative 8. Fixed administrative 1 2) Match the following. 1. Direct labor, direct materials, and manufacturing overhead. a. Gross margin 2. Costs that are expensed in the period they are incurred. b.Controllable costs 3.Sales less variable expenses. c. Manufacturing margin 4. Cost a manager can determine or greatly affect the amount. d. Absorption costing 5.A costing method that includes only variable manufacturing costs. e. Period costs 6. An income statement format that I focuses on cost behavior. f. Contribution margin 7. Sales less cost of goods sold. g. Variable costing 8.A costing method that includes all manufacturing costs. h. Product costs 9.Fixed costs divided by contribution margin per unit. i. Contribution format 10.Sales less variable production costs.j. Break-even in units 3) Home Base, Inc. reports the following production cost information: Units produced Units sold Direct labor Direct materials Variable overhead Fixed overhead 97,000 units 92,000 units $17 per unit $34 per unit $26 per unit $1,940,000 in total a. Compute production cost per unit under variable costing. b. Compute production cost per unit under absorption costing. c. Determine the cost of ending inventory using variable costing. d. Determine the cost of ending inveitory using absorption costing. 4) Home Base, Inc. reports the following production cost information: Beginning inventory 10,000 units Units produced 97,000 units Units sold 92,000 units Direct labor $17 per unit Direct materials $34 per unit Variable overhead $26 per unit Fixed overhead $1,940,000 in total Operating costs $2,000,000 in total 1 Assume that productions costs have remained the same since the previous period and all units are sold for $137.00 per unit. a. Compute production cost per unit under variable costing. b. Compute production cost per unit under absorption costing. c. Prepare a variable costing Income Statement d. Prepare an absorption costing Income Statement. Home Base Inc. Variable Costing Income Statement Sales Revenue Home Base Inc. Absorption Costing Income Statement Sales Revenue 1) Identify the treatment of each of the following costs under variable costing and absorption costing: Variable Costing Product Period Cost Cost Absorption Costing Product Period Cost Cost 1. Direct materials 2. Direct labor 3. Variable manufacturing overhead 4. Fixed manufacturing overhead 5. Variable selling 6. Fixed selling 7. Variable administrative 8. Fixed administrative