Exercise 19-6 Absorption costing income statement LO P2 Hayek Bikes prepares the income statement under variable costing for its managerial reports, and it prepares the income statement under absorption costing for external reporting. For its first month of operations, 375 bikes were produced and 225 were sold; this left 150 bikes in ending inventory. The income statement information under variable costing follows. Sales (225 x $1,750) Variable product cost (225 $675) Variable selling and administrative expenses (225 $60) Contribution margin Fixed overhead cost Fixed selling and administrative expense Net income $ 393,750 151,875 13,500 228,375 67,500 85,000 $ 75,875 1. Prepare this company's income statement for its first month of operations under absorption costing. 2. Fill in the blanks: Complete this question by entering your answers in the tabs below. KENZI KAYAKING Absorption Costing Income Statement Net income (loss) 1. Prepare this company's income statement for its first month of operations under absorption 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: units The dollor difference in variable costing income and absorption costing income