Exercise 6-6 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 $1,700) Variable product cost (225 x $ 700 ) Variable selling and administrative expenses (225 x $65) Contribution margin Fixed overhead cost Fixed selling and administrative expense Net income $ 382,500 157,500 14,625 210,375 60,000 90,000 $ 60,375 1. Prepare this company's income statement for its first month of operations under absorption costing. (Round your intermediate calculations to the nearest whole dollar.) HAYEK BIKES Absorption Costing Income Statement Net income (loss) Fixed costs added to inventory