Current Attempt in Progress The following table shows the inventory balances, in units, for years 1, 2, and 3. Total fixed manufacturing costs were $63,000 for each of the last five years. The units in Year 1 beginning inventory were based on production of 900 units. Year 1 2 3 Beginning inventory 100 0 500 Production 900 1,000 1,000 Sales (1,000) (500) (1,000) Ending inventory 0 500 500 For each year, calculate the difference between absorption costing and variable costing operating income. Indicate which costing system has the higher net income. Year 1 2 3 Difference in operating income $ $ $ Costing system that has higher net income