cell reference please

1 Operating data for Allegiant Company and its absorption costing income statements for 2 the last two years are presented below: 3 4 5 Year 1 Year 2 6 Units in beginning inventory 2,000 1,000 7 Units produced 14,000 14,000 8 Units sold 15,000 12,000 9 10 Sales $ 240,000 $ 320,000 11 Cost of Goods Sold 12 Beginning inventory 21,000 10,500 13 Add: Cost of Goods Manufactured 147,000 147,000 14 Goods available for sale 168,000 157,500 15 Less: Ending inventory 10,500 31,500 16 Cost of Goods Sold 157,500 126,000 17 Gross margin 82,500 194,000 18 Selling and administrative expenses 92,000 83,600 19 Operating income $ (9,500) $ 110,400 20 L 21 22 23 24 25 26 Fixed manufacturing overhead Direct material per unit Direct labour per unit Variable Manufacturing overhead per unit Variable Selling & Admin costs per unit $ $ $ $ 56,000 $ 2.00 $ 3.00 $ 1.50 $ 2.80 $ 56,000 2.00 3.00 1.50 2.80 $ 27 28 29 a) What was the unit product cost in each year under variable costing Year 1 Year 2 Total unit product cost b) Prepare new income statements for each year using variable costing Allegiant Company Variable Costing Income Statement Year 1 Year 2 Sales Less: Variable expenses Contribution margin Operating income (loss) c) Reconcile the difference in Operating Income between variable costing and absorption costing Variable costing operating income Absorption costing operating income