Great Outdoze Company manufactures sleeping bags, which sell for $66.10 each. The variable costs of production are as follows:

Direct material	$	19.50
Direct labor		10.00
Variable manufacturing overhead		8.00

Budgeted fixed overhead in 20x1 was $225,000 and budgeted production was 30,000 sleeping bags. The years actual production was 30,000 units, of which 26,500 were sold. Variable selling and administrative costs were $1.10 per unit sold; fixed selling and administrative costs were $23,000. Required: PLEASE PLACE ANSWERS IN CORRECT EXCEL CELL FOR EACH TAB BELOW!!!!!

1. Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. (SHOW ANSWER BELOW IN BOXES!!!)

2-a. Prepare an operating income statement for the year using absorption costing. (SHOW ANSWER BELOW IN BOXES!!!)

2-b. Prepare an operating income statement for the year using variable costing. (SHOW ANSWER BELOW IN BOXES!!!)

3. Reconcile reported operating income under the two methods using the shortcut method. (SHOW ANSWER BELOW IN BOXES!!!)

THANK YOU FOR PLACING ANSWERS WITHIN THE GIVEN BOXES ABOVE! :)

Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req3 Calculate the product cost per sleeping bag under (a) absorption costing and (b) variable costing. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Product Cost Per Unit Absorption costing Variable costing Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req3 Prepare an operating income statement for the year using absorption costing. (Do not round intermediate calculations.) GREAT OUTDOZE, INC. Operating Income Statement For the Year Ended December 31, 20x1 Absorption Costing $ GA 0 Selling and Administrative Expenses 0 Complete this question by entering your answers in the tabs below. Req1 Req 2A Req 2B Req3 Prepare an operating income statement for the year using variable costing. (Do not round intermediate calculations.) GREAT OUTDOZE, INC. Operating Income Statement For the Year Ended December 31, 20x1 Variable Costing Variable expenses: 0 Fixed expenses: $ 0 Complete this question by entering your answers in the tabs below. Req1 Req 2A Req 2B Req3 Reconcile reported operating income under the two methods using the shortcut method. (Round your predetermined fixed overhead rate to 2 decimal places.) X Predetermined fixed overhead rate II Absorption-costing income minus variable-costing income Change in inventory (in units) unit increase X