Dowell Company produces a single product. Its income statements under absorption costing for its first two years of operation follow. 2016 2017 Sales ($46 per unit) $ 1,012,000 $ 1,932,000 Cost of goods sold ($31 per unit) 682,000 1,302,000 Gross margin 330,000 630,000 Selling and administrative expenses 295,000 345,000 Net income $ 35,000 $ 285,000 Additional Information Sales and production data for these first two years follow. 2016 2017 Units produced 32,000 32,000 Units sold 22,000 42,000 Variable cost per unit and total fixed costs are unchanged during 2016 and 2017. The company's $31 per unit product cost consists of the following. Direct materials $ 5 Direct labor 8 Variable overhead 8 Fixed overhead ($320,000/32,000 units) 10 Total product cost per unit $ 31 Selling and administrative expenses consist of the following. 2016 2017 Variable selling and administrative expenses ($2.5 per unit) $ 55,000 $ 105,000 Fixed selling and administrative expenses 240,000 240,000 Total selling and administrative expenses $ 295,000 $ 345,000 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.)