Barbara Jones, CEO of Ivanhoe Industries, is concerned about the recent volatility in the company's operating income. She believe that since the number of units sold has been fairly stable over the past three years that operating income also should have been stable Barbara asked Michael Brown, Ivanhoe's inventory manager, to help her understand the issue Michael reviewed the company's records and compiled the following changes to Finished Goods Inventory in units for the years 2019, 2020 and 2021 Year 2019 2020 2021 Beginning inventory 1.000 2000 500 Production 38,000 40,000 Sales 40,000 (39.000) 2000 (39.500) (39.500) 1.000 Ending inventory 500 Michael also gathered the 2019 income statements prepared using absorption costing and variable costing, which follow 5 5,850,000 (91.000) Income Statement-Absorption Costing Sales Cost of goods sold Units in beginning inventory Onits sold from current year production Total cost of goods sold Gross margin Selling expense (3.458.000) (3.549,000) 2,301.000 605,000) Operating Income 5 1,696,000 Income Statement-Variable Costing Sales $ 5,850,000 Income Statement -Variable Costing Sales 5 5,850,000 (2067,000) (156,000) 3,627,000 Variable production expenses Variable selling expenses Contribution margin Fixed manufacturing expenses Fixed selling expenses Operating income (1.520,000) (449,000) 1,658,000 $ (a) Compute the unit product cost for 2019 2020, and 2021 for variable and absorption costing. Assume that variable costs per unit and total fixed costs do not change from one year to the next. (Round answers to 2 decimal places, eg: 15.25) 2019 2020 2021 $ Unit product cost using variable costing Unit product cost using absorption costing S e Textbook and Media Save for Later Attempts: unlimited Submit