for first of Dowell Company produces a single product. Its income statements under absorption costing operation follow its two years $1,104,800 $2,864,889 759,800 1,419,009 Sales ($48 per unit) Cost of goods sold ($33 per unit) Gross margin Selling and administrative expenses Net income 45,000 645 291,990 331,800 $54,000 5 314,899 Additional Information o. Sales and production data for these first two years follow Units produced Units sold 33,000 33,000 23,000 43,000 b. Variable cost per unit and total fixed costs are unchanged during 2016 and 2017 The company's $33 per unit product cost consists of the following Direct naterials Direct labor Varlable overhead Prey 10 of 10 Nox Help Save & Exit b. Variable cost per unit and total fixed costs are unchanged during 2016 and 2017. The company's $33 per unit product cost consists of the following Direct materials Direct labor Variable overhead Fixed overhead ($330,900/33,000 units) Total product cost per unit s 5 10 $33 c. Selling and administrative expenses consist of the following Variable selling and adeinistrative expenses (52 per unit) Fixed selling and administrative expenses Total selling and adninistrative expenses 5 46,000 86,00e 245,009245,090 $291,000 $331,000 2. What are the differences between the absorption costing income and the variable costing income for these two years? (Loss amounts should be entered with a minus sign.) DOWELL COMPANY Reconciliation of Variable Costing Income to Absorption Costing Income