During 2030, Basler Manufacturing produced 60,000 units and sold 55,000 for $10 per unit. Variable manufacturing costs were $5 per unit. Annual fixed manufacturing overhead was $120,000 ($2 per unit). Variable selling and administrative costs were $1 per unit sold, and fixed selling and administrative costs were $30,000.

Prepare an absorption costing income statement.

Absorption Costing Income Statement

Balser Manufacturing Income Statement (Absorption Costing)

Sales
Cost of Goods Sold
Gross Profit / Margin
Variable Selling and Administrative Expenses
Fixed Selling and Administrative Expenses
Net Income / (Loss)