Dirt Free Company manufacturers a professional grade vacuum cleaner and began operations in 2017. For 2017. Dirt Free budgeted to produce and sell 28,000 units. The company had no price, spending, or officiency variances and writes off production volume variance to cost of goods sold, Actual data for 2017 are given as follows: (Click the icon to view the actual data for 2017.) Read the requirements Units produced 24,000 21,500 Units sold Selling price $ 425 Variable costs: Manufacturing cost per unit produced: Direct materials $ 25 29 68 Direct manufacturing labor Manufacturing overhead Marketing cost per unit sold 40 Fixed costs: Manufacturing costs $ 1,904,000 Administrative costs 885,800 Marketing costs 1,253,800 . - 17 inco i Requirements come si be Var 1. Prepare a 2017 income statement for Dirt Free Company using variable costing. 2. Prepare a 2017 income statement for Dirt Free Company using absorption costing. 3. Explain the differences in operating incomes obtained in requirements 1 and 2. 4. Dirt Free's management is considering implementing a bonus for the supervisors based on gross margin under absorption costing. What incentives will this bonus plan create for the supervisors? What modifications could Dirt Free management make to improve such a plan? Explain briefly. any ny Print Done