Dowell Company produces a single product. Its income statements under absorption costing for its first two years of operation follow. 2014 2015 Sales ($46 per unit) $ 1,104,000 $ 2,024,000 Cost of goods sold ($31 per unit) 744,000 1,364,000 Gross margin 360,000 660,000 Selling and administrative expenses 288,000 328,000 Net income $ 72,000 $ 332,000 Additional Information a. Sales and production data for these first two years follow. 2014 2015 Units produced 34,000 34,000 Units sold 24,000 44,000 b. Variable cost per unit and total fixed costs are unchanged during 2014 and 2015. The company's $31 per unit product cost consists of the following. Direct materials $ 5 Direct labor 9 Variable overhead 7 Fixed overhead ($340,000/34,000 units) 10 Total product cost per unit $ 31 c. Selling and administrative expenses consist of the following. 2014 2015 Variable selling and administrative expenses ($2 per unit) $ 48,000 $ 88,000 Fixed selling and administrative expenses 240,000 240,000 Total selling and administrative expenses $ 288,000 $ 328,000 5.value: 3.42 pointsRequired information 1. Complete income statements for the company for each of its first two years under variable costing. (Loss amounts should be entered with a minus sign.) ReferenceseBook & Resources Expanded tableLearning Objective: 19-P2 Prepare and analyze an income statement using absorption costing and using variable costing. Difficulty: 3 HardLearning Objective: 19-P3 Convert income under variable costing to the absorption cost basis. Check my work 6.value: 3.42 pointsRequired information 2. What are the differences between the absorption costing income and the variable costing income for these two years? (Loss amounts should be entered with a minus sign.)