Dowell Company produces a single product. Its income statements under absorption costing for its first two years of operation follow Sales (546 per unit) Cost of goods sold ($31 per unit) Gross margin Selling and administrative expenses Net Income 2018 2019 $1,104,000 $2,024,000 744,000 1,364,000 360.ee 660,000 288, eee 328,000 $ 72,000 $332,000 Additional Information a. Sales and production data for these first two years follow. Units produced Units sold 2018 34.000 24,000 2019 34,000 44,000 b. Variable cost per unit and total fixed costs are unchanged during 2018 and 2019. The company's $31 per unit product cost consists of the following Direct materials Direct labor Variable overhead Hixed overhead (5340,000/ 34,000 units) Total product cost per unit $5 8 8 10 $31 c. Selling and administrative expenses consist of the following Variable selling and administrative expenses ($2 per unit) 2019 $ 48,000,000 c. Selling and administrative expenses consist of the following Variable selling and administrative expenses ($2 per unit) Fixed selling and administrative expenses Total selling and administrative expenses 2018 2019 $ 48,000 5 88,000 240,000 240,000 $288,eee $328,000 1. Prepare income statements for the company for each of its first two years under variable costing. (Loss amounts shoul with a minus sign.) 2019 5 2,024,000 DOWELL Company Variable Costing Income Statements 2018 $ Sales 1.104,000 Less Variable costs Direct materials Direct labor Variable overhead Variable selling and administrative expenses Contribution margin Les Fred expenses Fixed selling and administrative couts Fixed overhead Net income toss)