Faxon Company, which has only one product, has provided the following data concerning its most recent month of operations:

What is the product cost per unit using absorption costing? Using variable costing?

What is the value of the ending inventory using absorption costing? Using variable costing?

Prepare an income statement for the month using the absorption costing method (traditional income statement).

Prepare an income statement for the month using the variable costing method and the contribution format income statement.

Reconcile the variable costing and absorption costing net operating incomes for the month.

$137 Units in beginning inventory 3,000 2,900 100 Units in ending inventory Variable costs per ui it Direct materials Direct labor.. Variable manufacturing overhead Variable selling and administrative $40 $53 $6 $9 Fixed costs: Fixed manufacturing overhead Fixed selling and administrative $69.000 $5,800