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) Cost of goods sold ($31 per unit) $1,012,000 $ 1,932,000 682,000 1,302,000 Gross margin Selling and administrative expenses 330,000 630,000 334,500 289,500 Net income $ 40,500 $ 295,500 Additional Information a. Sales and production data for these first two years follow 2014 32,000 32,000 22,000 42,000 2015 Units produced Units sold 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 Direct labor Variable overhead Fixed overhead ($320,000/32,000 units) 6 10 Total product cost per unit $ 31 C. Selling and administrative expenses consist of the following 2014 2015 Variable selling and administrative expenses ($2.25 per Fixed selling and administrative expenses Total selling and administrative expenses $ 49,500 $ 94,500 240,000 240,000 $289,500 $334,500 uni