ECD Ltd has managers who are trying to find the two ways of calculating product cost and income statement . these are the variable costing and absorption costing methods Selected data for ECD Ltd are presented below Product X Hour rate for direst labour $ 25 Materials used in production [direct] $ 10,500 Produced units during this period 450 Sales [ in units ] 3000 Selling price $16.50 Variable overhead [VOH] $ 3400 Fixed overhead [ FOH] $ 3500 Non manufacturing cost Variable selling $ 4000 Fixed selling cost $ 6500 Variable admin cost $2400 Fixed admin cost $1700 Ending inventory $870 Beginning Inventory $1750

REQUIRED 1. Calculate product cost of product X using variable cost . 2. Calculate variable cost of goods for the year 3. Find the variable-costing net income 4. Calculate product cost of product X using absorption cost .. 5. Calculate cost of goods for the year using absorption method 6. Find the net income using absorption method