Exercise 06-5 Absorption costing and variable costing income statements LO P2

Rey Companys single product sells at a price of $219 per unit. Data for its single product for its first year of operations follow.

Exercise 06-5 Absorption costing and variable costing income statements LO P2 Rey Company's single product sells at a price of $219 per unit. Data for its single product for its first year of operations follow. $ $ 23 per unit 31 per unit Direct materials Direct labor Overhead costs Variable overhead Fixed overhead per year Selling and administrative expenses Variable Fixed Units produced and sold 9 per unit $ 253,000 per year 21 per unit $ 206,000 per year 23,000 units 1. Prepare an income statement for the year using absorption costing 2. Prepare an income statement for the year using variable costing. Prepare an income statement for the year using absorption costing. REY COMPANY Absorption Costing Income Statement Net income (loss) Prepare an income statement for the year using variable costing. REY COMPANY Variable Costing Income Statement Net income (loss)