Exercise 19-4 Variable costing income statement LO P2 Kenzi Kayaking, a manufacturer of kayaks, began operations this year. During this first year, the company produced 1,025 kayaks and sold 775 at a price of $1,025 each. At this first year-end, the company reported the following income statement information using absorption costing Sales (775 $1,025) Cost of goods sold (775 x $425) $ 794,375 329,375 Gross margin 465,000 Selling and administrative expenses Net income 230,000 $ 235,000 Additional Information a. Product cost per kayak totals $425, which consists of $325 in variable production cost and $100 in fixed production cost-the latter amount is based on $102,500 of fixed production costs allocated to the 1,025 kayaks produced. b. The $230,000 in selling and administrative expense consists of $105.000 that is variable and $125,000 that is fixed. Required: 1. Prepare an income statement for the current year under variable costing 2. Fill in the blanks: Complete this question by entering your answers in the tabs below. ebook Required: 1. Prepare an income statement for the current year under variable costing 2. Fill in the blanks Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the current year under variable costing KENZI KAYAKING Variable Costing Income Statement 10 Print References Net income (loss) Required >> www Additional Information a. Product cost per kayak totals $425, which consists of $325 in variable production cost and $100 in fixed production cost-the latter amount is based on $102.500 of fixed production costs allocated to the 1,025 kayaks produced b. The $230,000 in selling and administrative expense consists of $105,000 that is variable and $125,000 that is fixed Required: 1. Prepare an income statement for the current year under variable costing. 2. Fill in the blanks Complete this question by entering your answers in the tabs below. Required 1 Required 2 Fill in the blanks: The dollar difference in variable costing income and absorption costing Income units Exed overhead per unit