Denton Company manufactures and sells a single product. Cost data for the product are given: varirect materials Direct laborufacturing overhead sve i Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cost per unit Fixed costs per month: Fixed manufacturing overhead Fixed selling and administrative Total fixed cost per month $ 84,000 169,000 $ 253,000 The product sells for $46 per unit. Production and sales data for July and August, the first two months of operations, follow: July August Units Produced 21,000 21,000 Units Sold 17,000 25,000 The company's Accounting Department has prepared the following absorption costing income statements for July and August: a. Sales Cost of goods so Gross margin Selling and admini Net operating income July $ 782,000 357,000 425,000 186,000 $ 239,000 August $1,150,000 525,000 625,000 194,000 $ 431,000 expenses Required: 1. Determine the unit product cost under: a. Absorption costing. b. Variable costing. 2. Prepare contribution format variable costing income statements for July and August 3. Reconcile the variable costing and absorption costing net operating incomes