Denton Company manufactures and sells a single product. Cost data for the product are given Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cost per unit $ 18 Fixed costs per month: Fixed manufacturing overhead Fixed selling and administrative $ 96,000 172,000 268,000 Total fixed cost per month The product sells for $53 per unit. Production and sales data for July and August, the first two months of operations, follow: Units Units Sold Produced July 24,000 24,000 20,000 28,000 August The company's Accounting Department has prepared the following absorption costing income statements for July and August: August $1,060,000 1,484,000 420,000588,000 Sales Cost of goods sold The product sells for $53 per unit. Production and sales data for July and August, the first two months of operations, follow: Units Units Sold 20,000 28,000 Produced July 24,000 24,000 August The company's Accounting Department has prepared the following absorption costing income statements for July and August: August $1,060,000 1,484,000 420,000588,000 Sales Cost of goods sold 640,000 192,000 Gross margin 896,000 Selling and administrative expenses 200,000 448,000 $696,000 Net operating income 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