Baxtell Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations Variable costs per unit Manufacturing Direct materials Direct labour Variable manufacturing overhead $ 31 17 Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expense 358,150 132,600 During the year, the company produced 27,550 units and sold 22,100 units. The selling price of the company's product is $86 per unit. Required. 1. Assume that the company uses absorption costing a. Compute the unit product cost. Unit product cost b. Prepare an income statement for the year Absorption Costing Income Statement Cost of goods sold