combletioh Return to question 3 Exercise 6-5 Absorption costing and variable costing income statements LO P2 16.66 points Rey Company's single product sells at a price of $216 per unit. Data for its single product for its first year of operations follow. Direct materials Direct labor Overhead costs 20 per unit 28 per unit Variable overhead 6 per unit $160,000 per year Fixed overhead per year Selling and administrative expenses Variable Fixed Units produced and sold 18 per unit $ 200,000 per year 20,000 units 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion Return to question 3 Required 1 Required2 Prepare an income statement for the year using absorption costing REY COMPANY Absorption Costing Income Statement 16.66 polnts Sales 4,320,000 Less: Cost of goods sold Fixed selling and administrative costs Direct labor Direct materials Fixed selling and administrative costs Sales Net income (loss) Required 1 Required 2 > Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicat completion Return to questic 3 Required 1 Required2 Prepare an income statement for the year using variable costing REY COMPANY 16.66 Variable Costing Income Statement points Sales 4,320,000 Less: Variable costs 20 360,000 1,080,000 1,080,000 Direct labor Variable selling and administrative enses Direct materials Variable overhead costs Total variable costs Contribution margin Less: Fixed expenses 2,520,020 2,880,000 Fixed overhead costs Fixed selling and administrative costs Total fixed expenses Net income (loss) 160,000 200,000 360,000