Chuck Wagon Grills, Inc., makes a single producta handmade specialty barbecue grill that it sells for $210. Data for last years operations follow:

Units in beginning inventory		0
Units produced		10,300
Units sold		9,500
Units in ending inventory		800
Variable costs per unit:
Direct materials		$ 64
Direct labor		39
Variable manufacturing overhead		11
Variable selling and administrative		19
Total variable cost per unit		$ 133
Fixed costs:
Fixed manufacturing overhead	$	319,300
Fixed selling and administrative		505,000
Total fixed costs	$	824,300

Required:

1.	Assume that the company uses absorption costing. Compute the unit product cost for one barbecue grill.

2.	Assume that the company uses absorption costing. Prepare an income statement.