During the first month of operations ended May 31, Big 5iky Creations Company produced 56,000 designer cowboy boots, of which 52,450 were sold: Operating data for the month are summarized as tolows: During June, Big Sky Creations produced 48,900 designet cowboy bocts and sold 52,450 cowboy boots. Operatrg dath tor June are summarited as follows: During June, Big Sky Creations produced 48,900 designer cowboy boots and sold 52,450 cowboy boots. Operating data for June are summarized as follows: Required: 1. Using the absorption costing concept, prepare income statements for (a) May and (b) Juno. 2. Using the varlable costing concept, prepare income statements for (a) May and (b) June. Absorption Costing Income Statement-May Income Statement Instructions Big Sky Creations Company Absorption Costing Income Statement (Label) 1 2 (Label) 3 4 5 6 7 8 16. Using the absorption costing concept, prepare income statements for June. Income Statement instructions Variable Costing income Statement-May Big Sky Creations Company Variable Costing Income Statement (Label) Variable Costing Income Statement-June Big Sky Creations Company Variable Costing Income Statement (Label) 1 (abel) 3 4 5 7 8 9. (Label) 10 11 12 13 3a. Explain the reason for the differences in operating income in (1) and (2) for May: For Maxy. Operating income reported under costs that are expensed on the costing income statement, but not on the costing income statement. 30. Explain the reason for the difteronces in eperafing income in (t) and (2) for June. For June, Operating income reported undec costing is less than that reparted under. costing due to part of manutacturing costs trom May that are expensed on the costing income statement, but not on the costing income statemert