Champion Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May $2020$ are as follows:

$($Click the icon to view the data.$)$

The selling price per vehicle is $$29,000.$ The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is $500$ units. There are no price, efficiency, or spending variances. Any production$-$volume variance is written off to cost of goods sold in the month in which it occurs.

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Requirement $1.$ Prepare April and May $2020$ income statements for Champion Motors under $($a$)$ variable costing and $($b$)$ absorption costing.

$($a$)$ Prepare April and May $2020$ income statements for Champion Motors under variable costing. Complete the top half of the income statement for each month first. then complete the bottom portion.

$($Complete all input fields. Enter a $"0"$ for any zero balance accounts.$)$

April $2020$

Revenues

Variable cost of goods sold:

Beginning inventory

Variable manufacturing costs

Cost of goods available for sale

Deduct ending inventory

Variable cost of goods sold

Variable operating costs

Contribution margin

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Data table

$\backslash$table$[[,$A$,,$B$,$C$],[1,,,$April,May$],[2,$Unit data:,,,$],[3,$Beginning inventory,,$0,100],[4,$Production,,$500,425],[5,$Sales,,$400,485],[6,$Variable costs:,,,$],[7,$Manufacturing cost per unit produced,$$,9,000,9,000],[8,$Operating $($marketing$)$ cost per unit sold,,$3,400,3,400],[9,$Fixed costs:,,,$],[10,$Manufacturing costs,$$,2,000,000,$$ $2,000,000],[11,$Operating $($marketing$)$ costs,,$800,000,800,000]]$