Haas Company manufactures and sells one product. The following information pertains to each of the company's first three years of operations: Variable costs per unit: Manufacturings Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per years Fixed manufacturing overhead Fixed selling and administrative expenses $25 $17 9.3 $150,000 90,000 During its first year of operations, Haas produced 60,000 units and sold 60,000 units. During its second year of operations, it produced 75.000 units and sold 50,000 units. In its third year, Haas produced 40,000 units and sold 65,000 units. The selling price of the company's product is $57 per unit. Required: 1. Compute the company's break-even point in unit sales. 2. Assume the company uses variable costing: a. Compute the unit product cost for Year 1, Year 2, and Year 3. b. Prepare an income statement for Year 1, Year 2, and Year 3. 3. Assume the company uses absorption costing: a. Compute the unit product cost for Year 1, Year 2, and Year 3 b. Prepare an income statement for Year 1, Year 2, and Year 3. ces During Heaton Company's first two years of operations, it reported absorption costing net operating income as follows: Sales (8561 per unit) Cost of goods sold (8 $40 per unit) Gross margin Selling and administrative expenses Net operating incone $3 per unit variable; $249,000 fixed each year. Year 1 $ 976,000 640,000 336,000 297,000 Year 2 $ 1,586,000 1,040,000 546,000 327,000 $ 39,000 $ 219,000 The company's $40 unit product cost is computed as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead ($357,000 21,000 unita) Absorption costing unit product cost Production and cost data for the first two years of operations are: 58 13 2 17 $40 Units produced Units sold Required: Year 1 21,000 16,000 Year 21 21,000 26.000 1. Using variable costing, what is the unit product cost for both years? 2. What is the variable costing net operating income in Year 1 and in Year 27 3. Reconcile the absorption costing and the variable costing net operating income figures for each year