FastTrack Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May $2020$ are as follows:

$($Click the icon to view the data.$)$

The selling price per vehicle is $$26,000.$ The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is $700$ units. There are no price, efficiency, or spending variances.

Any production$-$volume variance is written off to cost of goods sold in the month in which it occurs.

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Requirement $1.$ Prepare April and May $2020$ income statements for FastTrack Motors under $($a$)$ variable costing and $($b$)$ absorption costing $.$

$($a$)$ Prepare April and May $2020$ income statements for FastTrack Motors under variable costing. Complete the top half of the income statement for each month first, then complete the bottom portion. $($Complete all input fields. Enter a $"0"$ for any zero balance accounts.$)$

April $2020$

May $2020$

Revenues

Variable cost of goods sold:

Beginning inventory

Variable manufacturing costs

Cost of goods available for sale

Deduct ending inventory

Variable cost of goods sold

Contribution margin

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