Denton Company manufactures and sells a single product. Cost data for the product are given: $ 4 11 3 2 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 $ 20 $ 81, mee 163, eee $ 244, eee The product sells for $50 per unit. Production and sales data for July and August, the first two months of operations, follow: July August Units Produced 27,000 27,eee Units Sold 23, eee 31, eee The company's Accounting Department has prepared the following absorption costing Income statements for July and August Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income July $1,150, eee 483,000 667, eee 209, eee $ 458,000 August $ 1,550, eee 651,000 899, eee 225, eee $ 674, see 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