During the first month of operations ended August 31, Kodiak Fridgeration Company manufactured 44,000 mini refrigerators, of which 39,000 were sold. Operating data for the month are summarized as follows: Sales $7,020,000.00 Manufacturing costs: Direct materials $3,080,000.00 Direct labor 1,056,000.00 Variable manufacturing cost 880,000.00 616,000.00 Fixed manufacturing cost 5,632,000.00 Selling and administrative expenses: Variable $663,000.00 273,000.00 Fixed 936,000.00 Required: 1. Prepare an income statement based on the absorption costing concept." 2. Prepare an income statement based on the variable costing concept.* 3. Explain the reason for the difference in the amount of income from operations reported in (1) and (2). *Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. A colon (;) will automatically appear if required. Enter Inventory, August 31 as a negative number using a minus sign. If a