Denton Company manufactures and sells a single product. Cost data for the product are given: 9 Variable costs per unit. Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cont per unit Fixed conta per months Tixed manufacturing overhead Fixed selling and administrative Total fixed cost per month $ 18 nicos $144,000 269.000 $ 313,000 The product sells for $54 per unit. Production and sales data for July and August, the first two months of operations, follow: July August Units Produced 24.000 24,000 Unita Sold 20.000 28.000 The company's Accounting Department has prepared the following absorption costing income statements for July and August: Units Produced 24,000 24,000 Units Sold 20,000 28,000 July August The company's Accounting Department has prepared the following absorption costing Income statements for July and August Salou Cost of goods sold Grous margin Selling and administrative expenses Net operating income July Bugust $1,080,000 $1,512,000 420.000 588,000 660,000 924,000 229,000 253,000 $431,000 $ 671,000 05 Required: 1. Determine the unit product cost under: a. Absorption costing b. Variable costing 2. Prepare variable costing income statements for July and August 3. Reconcile the variable costing and absorption costing net operating incomes, 1. Determine the unit product cost under: a. Absorption costing. b. Variable costing. 2. Prepare variable costing income statements for July and August. 3. Reconcile the variable costing and absorption costing net operating incomes. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine the unit product cost under: (a) Absorption costing, (b) Variable costing. Unit Product Cost a. Absorption costing Variable costing b. Required 1 Required 2 Required 3 Prepare variable costing income statements for July and August. Denton Company Variable Costing Income Statement July August Net operating income (loss) Required 1 Required 2 Required 3 Reconcile the variable costing and absorption costing net operating incomes. (Enter any losses or deductions value.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes July August Variable costing net operating income (oss) Add (deduct) fixed manufacturing overhead cost deferred in (released from) Inventory under absorption costing Absorption costing net operating income (loss)